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Perry Ellis Signs Deal for Fragrances

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By: Jamie Matusow

Editor-in-Chief

Clothing maker Perry Ellis International Inc. agreed to sell the inventory and assets of its fragrance business to Falic Fashion Group for $63 million, a deal that allowed Perry Ellis to boost its earnings guidance for 2008. Perry Ellis also said it signed a licensing agreement with Falic Fashion Group LLC, a subsidiary of Duty Free Americas Inc., to make and distribute perfume, fragrances, lotions, toiletries and cosmetics under the Perry Ellis brand. In December, Perry Ellis said it would pay $63 million to reacquire the Perry Ellis fragrance line from Parlux Fragrances Inc. Perry Ellis said the new deal allows it to recoup all of the capital used to buy the line from Parlux.

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