Kohl’s Stores to Sell Brand by Vera Wang

In the latest step by department stores to team up with high-end fashion designers, mid-brow retailer Kohl’s Corp. on Thursday announced a union with Vera Wang, known for her $10,000 wedding gowns, to create a new fashion and lifestyle brand.

The exclusive brand called Very Vera by Vera Wang will be available in all 749 Kohl’s stores and on Kohls.com starting in the fall of 2007.

Under the long-term licensing agreement, Menomonee Falls, Wis.-based Kohl’s will be the exclusive provider and marketer in the United States of all Very Vera by Vera Wang merchandise such as sportswear, intimate apparel, handbags, leather accessories, jewelry, footwear, linens and towels.

Financial terms of the deal were not disclosed.

Prices have not been set for the collection, but it will be aimed at the top tier in the retailer’s women’s apparel offerings, Kohl’s President Kevin Mansell said. Currently, the highest-priced women’s apparel collection at Kohl’s is Polo Ralph Lauren’s Chaps, which features $50 sweaters and $120 jackets.

Kohl’s and other department stores are increasingly turning to big designer names to develop exclusive merchandise, following in the footsteps of discounter Target Corp., which has done well with its partnerships with Isaac Mizrahi and Cynthia Rowley.

J.C. Penney Co. teamed up with dress designer Nicole Miller to develop an affordable collection, while Federated Department Stores Inc. announced a deal in April with Martha Stewart to develop a home furnishings collection that will be rolled out at Macy’s stores in the fall of 2007.

For Vera Wang, the licensing pact with Kohl’s serves as a big opportunity to expand her customer base to middle-income shoppers.

The New York-based designer has branched out beyond gowns to include home furnishings, jewelry, stationery and eyewear, but they carry designer price tags.