UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): January 13, 2020

 

Vince Holding Corp.

(Exact name of Registrant as Specified in Its Charter)

 

 

Delaware

001-36212

75-3264870

(State or Other Jurisdiction

of Incorporation)

(Commission File Number)

(IRS Employer

Identification No.)

 

 

 

500 5th Avenue – 20th Floor
New York, New York 10110

 

10110

(Address of Principal Executive Offices)

 

(Zip Code)

Registrant’s Telephone Number, Including Area Code: (212) 944-2600

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange on which registered

Common Stock, $0.01 par value per share

 

VNCE

 

New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. 

 

 

 

 

 


Item 7.01 Regulation FD Disclosure.

 

On January 13, 2020, Vince Holding Corp. (the “Company”) issued a press release regarding its holiday sales results for the nine-week period ended January 4, 2020. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K.

 

The Company intends to use the Investor Presentation, attached hereto as Exhibit 99.2, in whole or in part, in one or more meetings with existing and/or potential investors.

 

The information, including Exhibits 99.1 and 99.2 hereto, which the registrant furnished in this report is not deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section. Registration statements or other documents filed with the Securities and Exchange Commission shall not incorporate this information by reference, except as otherwise expressly stated in such filing.

 

Item 9.01 Financial Statements and Exhibits.

 

(d) Exhibits.

 

Exhibit

No.

Description of Exhibit

99.1

Press Release of the Company, dated January 13, 2020.

99.2

Investor Presentation of the Company, dated January 13, 2020.

 


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

 

 

VINCE HOLDING CORP.

 

 

 

 

Date: January 13, 2020

 

By:

/s/ David Stefko

 

 

 

David Stefko

 

 

 

Executive Vice President, Chief Financial Officer

 

vnce-ex991_48.htm

 


Exhibit99.1

Vince Holding Corp. PROVIDES HOLIDAY Direct-To-Consumer SALES results for the Vince Brand

UPDATES FISCAL 2019 GUIDANCE to Reflect acquisition of rebecca taylor and Parker

 

NEW YORK, January 13, 2020 - Vince Holding Corp. (NYSE: VNCE), a leading global contemporary group, (“Vince” or the “Company”), today announced net sales results for the nine-week period ended January 4, 2020 for the Vince brand and updated its fiscal 2019 guidance for the Company to include Rebecca Taylor and Parker.

For the Vince brand, Direct-to-Consumer segment sales for the nine-week period ended January 4, 2020 increased approximately 11% versus the comparable period last year.  This increase was driven by comparable sales growth of approximately 6%, the opening of five net new stores since the end of the same period last year and sales from the Vince Unfold business launched in November 2018. Rebecca Taylor and Parker results had a minimal impact on the Direct-to-Consumer sales growth rates.

Brendan Hoffman, Chief Executive Officer, commented, “We are pleased with our holiday results as we see the momentum in the Vince brand continue in both our Direct-to-Consumer and Wholesale channels. We are seeing strong trends online and in our retail stores while Vince Unfold continues to drive incremental growth in our Direct-to-Consumer business. Notably, we continued to drive higher full-price sales and reduce promotional activity, which led to a more than 200 basis-point increase in our Direct-to-Consumer gross margin as compared to the same prior year period. In the Wholesale channel, we saw exceptional performance at our two department store partners, with their combined sales growth of the Vince brand in excess of 30%.  This performance is attributable to both favorable response to product as well as improved and increased floor space, which is enabling us to achieve further market share gains. We look forward to building on our successes as we continue to advance our growth strategies.  

Mr. Hoffman continued, “We have begun the integration process for our recently acquired Rebecca Taylor and Parker brands.  We believe both of these brands are highly regarded and have significant long-term growth potential. We plan to employ the strategic playbook that drove the successful turnaround at the Vince brand. As part of this, we hired a new Senior Creative Director, Steven Cateron, to lead the creative direction and oversee this effort. Overall, we are excited to have assembled a distinctive portfolio of contemporary brands in which we can capitalize on our expertise to drive long term sustainable growth.”  

Strategic growth initiatives for the Acquired Businesses

Accelerate Direct-to-Consumer business at Rebecca Taylor with brick-and-mortar stores and e-commerce initiatives

Extend apparel product classifications by leveraging core competencies of Vince

Grow Rebecca Taylor RNTD (rental business) and develop new revenue streams

Potential to drive operating margin expansion through:

 

-

Leveraging higher revenue

 

-

Benefiting from economies of scale

 

-

Creating operational efficiencies

Accelerate expansion of international distribution

 

 

 


 

Fiscal 2019 Outlook

The Company’s guidance for the Vince brand now incorporates the impact of higher tariff costs and additional strategic investments. Excluding these revisions, the fiscal 2019 outlook for the Vince brand remains unchanged.

 

Exhibit 1: Guidance for Vince Brand

 

 

Vince Brand

 

Guidance, as of the third quarter fiscal 2019

 

New Tariff

New Strategic Investment

Current guidance, inclusive of new tariff and new strategic investment

Net Sales

$295 m - $305 m

 

 

$295 m - $305 m

Operating Income (loss), excluding non-cash impairment and transaction and related costs

$7.5 m - $9.5 m

$1.25 m

$0.75 m

$5.5 m - $7.5 m

Diluted EPS, excluding non-cash impairment and transaction and related costs

 

 

 

 

 

$0.08 - $0.25

 

Inclusive of Rebecca Taylor and Parker, for Fiscal 2019 the Company now expects:

 

Net sales to be between $365 million and $378 million. This compares to combined net sales of $363.5 million in fiscal 2018.

 

Operating loss of $0.5 million to operating income of $3.0 million, which excludes non-cash asset impairment charges of approximately $20.3 million recognized by Rebecca Taylor and Parker prior to the acquisition, as well as transaction and related costs of approximately $3.2 million.  
This compares to combined reported operating income of $5.4 million in fiscal 2018, which included a $1.7 million non-cash asset impairment charge for Vince related to property and equipment of certain retail stores.

 

Capital expenditures to be between $4.0 million and $4.5 million.

Mr. Hoffman commented, “We believe that we are uniquely positioned to drive meaningful profitable growth for the Rebecca Taylor and Parker brands.  As we evaluated the Rebecca Taylor brand in particular, we saw an opportunity to acquire this company during a downturn in fiscal 2019 and leverage the same strategies that that led to significantly improved financial performance at the Vince brand to reinvigorate profitable growth. We expect to achieve low-single digit operating margin in fiscal 2020 for the Company and to drive further top line growth and margin expansion thereafter.”


 


 

Exhibit 2: Total Company Guidance

 

 

Vince Brand

RT and Parker

Total Company

Net Sales

$295 m - $305 m

$70 m - $73 m

$365 m - $378 m

Operating Income (loss), excluding non-cash impairment and transaction and related costs

$5.5 m - $7.5 m

$(6.0) m - $(4.5) m

$(0.5) m - $3.0 m

Diluted EPS, excluding non-cash impairment and transaction and related costs

$0.08 - $0.25

$(0.58) - $(0.45)

$(0.50) - $(0.20)

 

 

The Acquisition was a transaction between commonly controlled entities. U.S. Generally Accepted Accounting Principles require the retrospective combination of the entities for all periods presented as if the combination had been in effect since the inception of common control.  Accordingly, the fiscal 2018 results presented above reflect the unaudited combined pro forma results of Vince, Rebecca Taylor and Parker brands which are subject to further review and potential adjustments therefrom, which are expected to be insignificant.  

 

The holiday Direct-to-Consumer sales results reported in this press release are unaudited and preliminary. These amounts are based on currently available information, are subject to change following the completion of any customary financial closing procedures for the fiscal quarter ending February 1, 2020 and are not indicative of any actual results of such quarter, which may differ significantly from these unaudited preliminary amounts.

 

ABOUT VINCE HOLDING CORP.

Vince Holding Corp. is a global contemporary group, consisting of three brands: Vince, Rebecca Taylor, and Parker. Vince, established in 2002, is a leading global luxury apparel and accessories brand best known for creating California-inspired elevated yet understated pieces for every day effortless style. Known for its range of luxury products, Vince offers women’s and men’s ready-to-wear and accessories through 49 full-price retail stores, 15 outlet stores, and its e-commerce site, vince.com as well as premium wholesale channels globally and through its subscription service, Unfold. Rebecca Taylor, founded in 1996 in New York City, is a high-end women’s contemporary lifestyle brand inspired by beauty in the everyday. The Rebecca Taylor collection is available at Rebecca Taylor boutiques and at rebeccataylor.com as well as high-end department and specialty stores worldwide as well is its subscription service. Parker, founded in 2008 in New York City, is a contemporary women’s fashion brand with high perceived value. The Parker collection is available at parkerny.com as well as high-end department and specialty stores worldwide. Vince Holding Corp. is headquartered in New York. Please visit www.vince.com for more information.

This press release is also available on the Vince Holding Corp. website (http://investors.vince.com/).

Forward-Looking Statements: This document, and any statements incorporated by reference herein, contains forward-looking statements under the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements under “Fiscal 2019 Outlook” and statements regarding, among other things, our current expectations about the Company's future results and financial condition, revenues, store openings and closings, margins, expenses and earnings and are indicated by words or phrases such as “may,” “will,” “should,” “believe,” “expect,” “seek,” “anticipate,” “intend,” “estimate,” “plan,” “target,” “project,” “forecast,” “envision” and other similar phrases. Although we believe the assumptions and expectations reflected in these forward-looking statements are reasonable, these assumptions and expectations may not prove to be correct and we may not achieve the results or benefits anticipated. These forward-looking statements are not guarantees of actual results, and our actual results may differ materially from those suggested in the forward-looking statements. These forward-looking statements involve a number of risks and uncertainties, some of which are beyond our control, including, without limitation: the expected effects of the acquisition of Rebecca Taylor and Parker (the “Acquired Businesses”) on the Company; our

 


ability to integrate the Acquired Businesses with Vince, including our ability to retain customers, suppliers and key employees; our ability to realize the benefits of our strategic initiatives; our ability to maintain our larger wholesale partners; the execution and management of our retail store growth plans; our ability to make lease payments when due; our ability to expand our product offerings into new product categories, including the ability to find suitable licensing partners; our ability to comply with the obligations under our credit facilities; our ability to continue having the liquidity necessary to service our debt, meet contractual payment obligations, and fund our operations; our ability to remediate the identified material weakness in our internal control over financial reporting; our ability to optimize our systems, processes and functions; our ability to mitigate system security risk issues, such as cyber or malware attacks, as well as other major system failures; our ability to comply with privacy-related obligations; our ability to comply with domestic and international laws, regulations and orders; changes in laws and regulations; our ability to ensure the proper operation of the distribution facilities by third-party logistics providers; our ability to anticipate and/or react to changes in customer demand and attract new customers, including in connection with making inventory commitments; our ability to remain competitive in the areas of merchandise quality, price, breadth of selection and customer service; our ability to keep a strong brand image; changes in global economies and credit and financial markets; our ability to attract and retain key personnel; our ability to protect our trademarks in the U.S. and internationally; the execution and management of our international expansion, including our ability to promote our brand and merchandise outside the U.S. and find suitable partners in certain geographies; our current and future licensing arrangements; the extent of our foreign sourcing; fluctuations in the price, availability and quality of raw materials; commodity, raw material and other cost increases; our reliance on independent manufacturers; seasonal and quarterly variations in our revenue and income; further impairment of our goodwill and indefinite-lived intangible assets; competition; other tax matters; and other factors as set forth from time to time in our Securities and Exchange Commission filings, including those described under “Item 1A—Risk Factors” in our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. We intend these forward-looking statements to speak only as of the time of this release and do not undertake to update or revise them as more information becomes available, except as required by law.

 

 

Investor Contact:
Jean Fontana
ICR, Inc.
Jean.fontana@icrinc.com
646-277-1200

 

 

vnce-ex992_187.pptx.htm

Slide 1

Management Presentation J A N U A R Y2 0 2 0 Exhibit 99.2

Slide 2

DISCLAIMER This Management Presentation (this “Presentation”) is the property of Vince Holding Corp. and its subsidiaries (collectively, “Vince” or the “Company”). By accepting this Presentation, the recipient acknowledges that it has read, understood and accepted the terms of this disclaimer. This Presentation is not a formal offer to sell or solicitation of an offer to buy the Company’s securities. Information contained in this Presentation should not be relied upon as advice to buy or sell or hold such securities or as an offer to sell such securities. No representation or warranty, express or implied, is or will be given by the Company or its affiliates, directors, officers, partners, employees, agents or advisers or any other person as to the accuracy, completeness, reasonableness or fairness of any information contained in this Presentation and no responsibility or liability whatsoever is accepted for the accuracy or sufficiency thereof or for any errors, omissions or misstatements relating thereto. By acceptance of this Presentation, each recipient agrees not to copy, reproduce or distribute to others the Presentation, in whole or in part, without the prior written consent of the Company, and will promptly return this Presentation to the Company upon request. This Presentation contains the Company’s financial results in conformity with U.S. generally accepted accounting principles (“GAAP”) as well as adjusted results which are non-GAAP financial measures, including adjusted operating income (loss), which eliminates the effect on operating results of various factors. The Company believes the presentation of these non-GAAP measures facilitates an understanding of the Company’s continuing operations without the impact of such factors. The factors excluded to arrive at non-GAAP financial measures included in this Presentation and the reconciliation of GAAP to non-GAAP results are further detailed on page 26 of this Presentation. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information of the Company prepared in accordance with GAAP. This Presentation may contain forward-looking statements under the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact or relating to present facts or current conditions included in this Presentation are forward-looking statements, including information provided on pages 26 and 30 of this Presentation. Forward-looking statements give our current expectations and projections relating to our financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as “anticipate,” “estimate,” “expect,” “project,” “target,” “plan,” “intend,” “believe,” “may,” “should,” “can have,” “likely” and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events. These forward- looking statements are not guarantees of actual results, and our actual results may differ materially from those suggested in the forward-looking statements. These forward-looking statements involve a number of risks and uncertainties, some of which are beyond our control, including those as set forth from time to time in our Securities and Exchange Commission (the “SEC”) filings, including those described in our Annual Report on Form 10-K as well as our Quarterly Reports on Form 10-Q under “Item 1A – Risk Factors” filed with the SEC. Any forward-looking statement made by the Company in this Presentation speaks only as of the date on which it is made. Except as may be required by law, the Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise. Market data and industry information used in this presentation are based on independent industry surveys and publications and other publicly available information prepared by third party sources. Although the Company believes that these sources are reliable as of their respective dates, it has not verified the accuracy or completeness of this information from independent sources.

Slide 3

KEY INVESTMENT HIGHLIGHTS Strategically positioned with contemporary fashion portfolio consisting of three highly recognized and distinct brands Multiple actionable growth opportunities across brands Potential to achieve meaningfully higher operating margin expansion through gross margin expansion and synergies Experienced management team, with strong track record, to execute long term plan Financial flexibility to execute growth initiatives

Slide 4

COMPANY OVERVIEW

Slide 5

SALES AND CHANNEL MIX Annual Sales 2019F $70 - 73 Million $295 - 305 Million / Channel Mix 25% 75% 45% 55%

Slide 6

CLASSIC TREND LUXURY MODERATE BRAND POSITIONING

Slide 7

VINCE BRAND OVERVIEW Well-positioned in the luxury market with a sophisticated, effortless, California-inspired fashion assortment Ready to Wear (Women’s and Men’s) Footwear Home Handbags Wholesale E-Commerce and Retail Stores Subscription

Slide 8

8 REBECCA TAYLOR BRAND OVERVIEW Multi-Occasion Tops Dresses Knitwear Jackets Outerwear Bottoms Wholesale E-Commerce and Retail Stores Subscription Highly-recognized contemporary brand known for its signature prints, dimensional texture and modern nostalgia with a sophisticated edge

Slide 9

Wholesale E-Commerce PARKER BRAND OVERVIEW Tops Dresses Knitwear Jackets Bottoms Black Collection Easy-to-wear contemporary brand with strong customer following and flirty but sexy fashion assortment. Offers opening price point in the luxury contemporary space

Slide 10

STRATEGIC GROWTH INITIATIVES

Slide 11

VINCE GROWTH INITIATIVES Expand International Presence Fuel e-commerce growth Expand brand relevant product categories Open 2-3 net new stores in North America annually Drive brand engagement Explore acquisitions

Slide 12

INTERNATIONAL EXPANSION STRATEGY Distributed across more than 40 countries through premier department stores and specialty retailers around the world EUROPE:GREATER CHINA: 12 First London store opened September 2019 Exploring potential new locations Influencer programs in London and Paris driving brand awareness and engagement Launched shop-in-shop in Harvey Nichols and Selfridges Transition to shop-in-shop in Harrod’s (Spring 2020) Operate Paris showroom Potential to expand product categories 1)Company operates 3PL distribution centers in Europe and Hong Kong Retail expansion planned to begin in Fall 2020 Potential partner initiated roadmap for retail stores and e- commerce launch Plan to target other 3P eCommerce platforms following success in Lane Crawford Strong demand for fashion luxury creates meaningful market opportunity Luxury peers operate 45-60 stores (i.e. Tory Burch, Theory)

Slide 13

E-COMMERCE CHANNEL OVERVIEW Double digit annual growth Content-rich e-commerce site creates elevated customer engagement Mobile application for iOS and Android offers elevated customer experience Launched subscription service in the fourth quarter of 2018 Plan to launch men’s in 2020

Slide 14

Site speed Product reviews Customized experience Ease of checkout Additional payment options E-COMMERCE GROWTH STRATEGIES Growth opportunity through traffic and conversion initiatives Target to be fully implemented by 2021 Broaden customer choice Improve productivity of inventory Increase conversion Deeper segmentation Greater understanding of where our customer is in the journey More engaging content Focus on full price product supported through video and elevated editorial content Expand omnichannel capabilities Increase conversion Deliver more relevant traffic Drive higher AOV

Slide 15

RETAIL EXPANSION STRATEGIES Open 2-3 stores annually Disciplined retail expansion strategy in non-gateway cities Focus on flexible leases Reduces risk Attractive returns Increased real estate flexibility Target 2-3 year payback period Focus on profitability with minimal investment and favorable lease terms Optimize retail fleet Relocating, renegotiating or exiting locations upon kick-out or expiration Initially targeted locations to capture walk away sales TOTAL RETAIL STORE COUNT 19 22 22 28 34 40 41 45 49 6 9 14 14 14 14 15 0 10 20 30 40 50 60 70 80 Full-price Outlet 19 22 28 37 48 54 55 59 64 ~67 ~73 ~70

Slide 16

2020 Store Openings 2018 Store Openings Short Hills (Short Hills Mall) Palm Desert (El Paseo) Naples (Waterside Shops) Austin (The Domain) Pacific Palisades (Palisades Village) Palm Beach (Palm Beach Gardens) 2019 Store Openings Miami (Aventura) Washington, DC (National Harbor Outlet) San Jose (Santana Row) NYC (5th Avenue) South Kensington, London Orlando (Mall of Millenia) Riverside [Q1 FY20] ~2 Additional Stores [TBD] STORE LOCATIONS FULL PRICE OUTLET SHORT-TERM FULL PRICE SHORT-TERM OUTLET

Slide 17

WHOLESALE GROWTH STRATEGIES PREMIER WHOLESALE PARTNERS Refined distribution through select global department and specialty stores, drove improved performance in 2019 Expect to drive continued growth in 2020 and beyond Drive penetration through best-positioned and dramatically expanded floor space Optimize pure play e-commerce network Product expansion into new categories Continued market share gains

Slide 18

NORDSTROM’S

Slide 19

SELFRIDGES AFTER BEFORE

Slide 20

ELEVATE CUSTOMER JOURNEY Deliver a more impactful, customer-centric experience Invest in technology to elevate all touch-points of the customer journey Deliver more personalized engagement to drive higher customer retention Invest in both CRM technology and resources to improve clienteling through enhanced customer data Communicate a clear, consistent and relevant brand story across all channels and all customer interactions Create a new position of Chief Customer Officer Expected to hire in Q1

Slide 21

EXPAND PRODUCT CATEGORIES / LICENSING OPPORTUNITIES Cold Weather Accessories Home Eyewear / Optical Fragrance Intimates Travel Accessories CURRENT POTENTIAL FUTURE OPPORTUNITIES Handbags Currently in DTC Target wholesale in FY 2021 H1 Target international in FY 2021 Extended Sizing (18-24) Target DTC in FY 2020 H2 Target wholesale in FY 2021 H1 Target international in FY 2021

Slide 22

REBECCA TAYLOR GROWTH INITIATIVES Run Vince playbook across acquired brands Hired Steven Cateron as Senior Creative Director Plan to swiftly re-capture the brand aesthetic Accelerate direct-to-consumer business Open 10-20 new stores overtime using the Vince flexible leasing strategy Grow e-commerce leveraging Vince expertise Expand product classifications Grow Rebecca Taylor RNTD (Rental Business) Accelerate international distribution in Europe and Asia Achieve synergies

Slide 23

PARKER GROWTH INITIATIVES Well-positioned small brand with significant growth potential Leverage resources to optimize market position and drive accelerated growth New markets Grow e-commerce leveraging Vince expertise Achieve synergies Run Vince playbook across acquired brands Hired Steven Cateron as Senior Creative Director

Slide 24

SELECT SENIOR MANAGEMENT TEAM BACKGROUND Brendan Hoffman CEO David Stefko EVP, CFO Caroline Belhumeur Senior Creative Director, Vince Marie Fogel SVP, Merchandise Planning, Production & Product Development Craig Samuelson SVP, International & Licensing Oct. 2015 Aug. 2015 May 2015 Jan. 2017 Jul. 2015 Jill Norton SVP, Sales Steven Cateron Senior Creative Director, Rebecca Taylor and Parker Dec. 2010 EXECUTIVEJOINEDYEARS OF EXPERIENCE 29 39 35 36 29 17 15 Jan. 2020

Slide 25

FINANCIAL OVERVIEW

Slide 26

SUMMARY OPERATING ANALYSIS NET SALES BY SEGMENT ($ in millions) DTC COMPARABLE SALES 26 $450.0 GROSS PROFIT MARGIN ADJ. OPERATING INCOME/LOSS(1)(2) & ADJ. OPERATING INCOME/LOSS MARGIN ($ in millions) 2)Adjusted operating income/loss presented herein refers to the operating income/loss excluding the impact of retail store, goodwill, and intangible asset impairment charges. A reconciliation of these adjusted results, which are non-GAAP results, to the most comparable GAAP results can be found in Vince’s press releases relating to Fourth Quarter and Fiscal Year 2018 Results published on March 29, 2018 and Fourth Quarter and Fiscal Year 2017 Results published on April 28, 2017, which are available on investors.vince.com. 1)Midpoint of guidance range which excludes non-cash asset impairment charges as well as transaction and related costs. $8.5M of operating income represents Vince brand guidance as published in Vince’s press release relating to Second Quarter 2019 results on September 12, 2019 and excludes tariff costs of $1.25M and new strategic investments of $0.75M. $6.5M of operating income represents the Vince brand current guidance published on January 13, 2020, inclusive of tariffs and strategic investments. Press releases are available on investors.vince.com. $(9.5) $5.8 -7.0% -5.0% -3.0% -1.0% 1.0% 3.0% 5.0% -$15.0 -$10.0 -$5.0 $0.0 $5.0 $10.0 Adj. Operating Income / Loss Margin Adj. Operating Income / Loss $(13.3) Adj. Operating Income / LossAdj. Operating Income / Loss Margin 2.1% -3.5% -4.9% 2018 2019 Guidance 2017 2016 $6.5 2.2% $8.5 (1) 2.8% 10.0% 7.8% 4.2% 4.5% 6.1% $400.0 $350.0 5.0% 0.0% FY16 $300.0 $250.0 $268.2 $272.6 $279.0 $300.0 (1) FY14 FY15 FY17 FY18 YTD- Oct 19 $200.0 $98.1 $106.5 $119.3 -5.0% $150.0 $300.0 -10.0% $100.0 $50.0 $170.1 $166.1 $159.6 -15.0% $0.0 2016 2017 2018 2019 Guidance -20.0% -16.2% Wholesale Direct-to-consumer 10.7% 15.0% 45.8% 44.7% 46.9% 50.0% 42.0% 43.0% 44.0% 45.0% 46.0% 47.0% 48.0% 49.0% 50.0% 51.0% 201620172018YTD- Oct 19

Slide 27

WORKING CAPITAL Working capital is driven by seasonality of business Acquired businesses have same cycle We continue to make investments in working capital as we grow the business and deliver on our strategic initiatives Our primary cash needs are funding working capital requirements, meeting our debt service requirements, paying amounts due under the Tax Receivable Agreement, capital expenditures for new stores and related leasehold improvements, as well as our international expansion Operating cash flow improved at the end of the third quarter of fiscal 2019 by almost $15.5 million in comparison to the same prior year period WORKING CAPITAL (1) 27 (1) Working Capital represents accounts receivable, inventories, and accounts payable Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 $80,000

Slide 28

$5.2 $16.9 $19.0 $21.9 $45.0 $33.0 $27.5 $25.4 $0.0 $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 FYE FYE FYE Q3 2016 2017 2018 2019 ABLTerm Loan $50.2 $47.4 $46.5 $49.9 Enhanced capital structure by refinancing term loan facility and revolving credit facility in August 2018 which has provided even greater financial flexibility to continue to execute on strategic initiatives Maturity of facilities in August 2023 Term Loan Facility $2.75 million of amortization payments due over the next four quarters Interest rate of Libor + 700 bps Revolving Credit Facility Current $100 million revolving credit facility Increased from $80 million simultaneous with the Acquisition YTD weighted average interest rate of 3.6% as of Q3 2019 First amendment allows for improvement $52.2 million of availability as of the end of Q3 2019 ENHANCED CAPITAL STRUCTURE

Slide 29

Opportunity for cost savings: Leverage of talent Economies of scale: Fabric buys Improved factory costs Distribution centers Freight consolidation E-Commerce platform savings Third party vendors SYNERGIES

Slide 30

FINANCIAL OUTLOOK 30 FY 2019 FY 2020 FY 2021 FY 2022 REVENUE $365M - $378M $378M - $392M LOW-DOUBLE DIGIT GROWTH LOW-DOUBLE DIGIT GROWTH VINCE REVENUE $295M - $305M $310M - $320M LOW-DOUBLE DIGIT GROWTH LOW-DOUBLE DIGIT GROWTH REBECCA TAYLOR / PARKER REVENUE $70M - $73M $68M - $72M LOW-DOUBLE DIGIT GROWTH MID-TEEN GROWTH ADJUSTED OPERATING MARGIN* (0.1)% - +0.8% 1.1% - 2.1% MID-SINGLE DIGIT MID-TO-HIGH-SINGLE DIGIT VINCE OPERATING MARGIN* 1.9% - 2.5% 2.5% - 3.0% MID-SINGLE DIGIT MID-TO- HIGH-SINGLE DIGIT REBECCA TAYLOR / PARKER OPERATING MARGIN* (8.6)% - (6.2)% (5.5)% - (2.5)% LOW-SINGLE DIGIT LOW-TO-MID-SINGLE DIGIT ADDITIONAL INFORMATION ▫ Strategic costs of approximately $5M towards CRM, other IT initiatives, product expansions, and international growth ▫ Invest in 1) working capital to support growth 2) $6M to $9M annually in capital and international investments ▫ Excess cash flow utilized to pay down debt *Adjusted for non-cash asset impairment charges, transaction related expenses and integration costs related to the acquisition

Slide 31

31