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Federated, Hudson's Bay agree on brand deal

Continuing to expand its private label brand internationally, Federated Department Stores has announced that its New York-based Federated Merchandising Group (FMG) division has agreed to supply private brand merchandise to the Bay, Hudson's Bay Co.'s department store division.

With 100 locations in Canada, the Bay will begin carrying a broad range of Federated brands this fall, including selected Charter Club home merchandise. FMG expects that by yearend more than 80 Bay locations will carry its merchandise.

Federated began its international reach in 1997 by providing merchandise to a retailer in Bermuda. In 2001, a Japanese retailer began offering Federated's INC label. Last year, FMG supplied merchandise to Ripley in South America and, with its Charter Club brand, Myer Grace Bros. in Australia.

All of the Federated branded merchandise supplied to international markets conforms to local legal and regulatory requirements, as well as preferences for color, style and size, while maintaining the overall brand identity and graphic and merchandising standards. FMG designs, sources and markets the merchandise under Federated's private brand names.

Federated will be aggressive in pursuing other international relationships as well, said Susan Bertelsen, FMG's senior vp for new business development.

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