Tommy Hilfiger tailored apparel was introduced to the European market in October 1998 under a licensing agreement with the Holy Fashion Group. The line created through the partnership includes high-quality tailored clothing, dress shirts and ties and is a business with more than $100 million in retail value. Holy Fashion Group will continue to operate the business until the closing.

The new in-house tailored division will be headed by Michael Berngruber who joins the Tommy Hilfiger Group in the capacity of vice president, tailored clothing, Europe. Most recently, Berngruber held various managerial positions at Hugo Boss.

"This acquisition represents an exciting opportunity for us to build further on the solid base that the Holy Fashion Group has developed over the years," says Daniel Grieder, chief executive officer of Tommy Hilfiger Europe. "By directly integrating the business into the overall Tommy Hilfiger European organization and commercial infrastructure, we feel we can develop further areas of potential throughout the region. In addition we can also take advantage of PVH's status as the world's largest dress shirt company. We would like to thank the Holy Fashion Group for their commitment and dedication in building a strong and very significant business."