On Monday, we published the news of the end of the partnership between the Swatch Group and Tiffany & Co., according to the Swiss group, which said it had taken the decision because of Tiffany & Co.'s systematic behaviour in blocking and delaying business development.
Today we publish below the official press release of Tiffany & Co. in response to the Swatch Group's statements:
"Since Tiffany & Co. and Swatch Group Ltd. entered into this partnership more than three years ago, it has become increasingly clear that Swatch was unwilling to honour the terms of our agreement to carry out the necessary commitments to develop Tiffany & Co's luxury watch business. Despite assurances to the contrary obtained in 2007, Swatch has failed to provide appropriate distribution for Tiffany & Co branded watches, with the result that our current business forecasts do not include any significant increase in sales or perceived royalties. Tiffany has honoured its obligations as set forth in the agreement, and has insisted that Swatch honour its own, particularly in respecting Tiffany's rights with respect to the management and design of the brand's products. Tiffany & Co. is confident that its position will be clarified in the pending arbitration proceedings in relation to this matter and Swatch's misconduct."
