Friday March 5, 2004
Ford on the Record: Tom Blasts Weinberg, Gucci Team Strategy
By Bridget Foley
PARIS — “Money had absolutely nothing to do with it. It was about control.”
In those words, Tom Ford denied recent rumors that his salary demands were the deal-breaker that ultimately ended his and Domenico De Sole’s reigns at Gucci Group and with it, a dazzling 10-year moment in fashion. “We had always been very clear that it was important that we maintain control of the company…it’s clear to me that Serge [Weinberg, chief executive officer of Gucci’s parent Pinault-Printemps-Redoute] intends to control the company.”
Three days before presenting his eighth Yves Saint Laurent collection, his last under the auspices of Gucci Group, the man whose presence has dominated this collection season sat for an exclusive interview with WWD at the Yves Saint Laurent headquarters here, in the spacious office he will vacate on April 30, completion date for the now infamous Gucci Group put.
While honoring an agreement with PPR executives not to discuss the particulars of the contract negotiations, Ford maintained that both sides had agreed on the matter of money. “All I can say is the financial settlement had been reached,” he said. “Both Domenico and I agreed to take less than we had over the past five years. I was going to sign a seven-year contract. Domenico was going to sign a two-year contract.”
Ford also stated that two years ago, “it was approved by the board that I would replace Domenico as ceo” upon De Sole’s retirement. “Before this deal fell apart, that was the plan of succession. Then came the turn of events.”
D: You won’t discuss what went on during the negotiations?
TF: No, I don’t really want to discuss it. It’s over, it’s done. I don’t know what the point of discussing it now is. We had always been very clear that it was important that we maintain control of the company.
WWD: If your understanding was with François Pinault that you were putting a succession plan in place, then in your view it was Serge Weinberg who had a different idea?
TF: Yes. It’s clear to me that Serge intends to control the company.
WWD: One rumor is that you were in negotiations asking for major money — $100 million.
TF: All I can say is that the financial settlement was done. We agreed to something for the next seven years. What I would have been paid for the next seven years would have been substantially less than I got for the previous five. Domenico also, but he was going to sign a two-year contract.
WWD: Why were you willing to do that?
TF: Because I love the company. I believe in it.
WWD: So money really had nothing to do with the whole thing?
TF: Money had absolutely nothing to do with it at all. It really was a question of control, and fortunately or unfortunately, I realized that I have nothing to learn about luxury from Serge Weinberg. I actually said this to Serge in a meeting and I think that put the nail in the coffin.
WWD: That was about the same time François Pinault was saying you were going to be the next ceo?
TF: Yes. I think Serge does a fine job at what he does, but he has absolutely no experience in the luxury industry, in the fashion industry. But PPR paid a lot of money for Gucci. It’s their company and they can run it as they choose.
I have absolutely nothing against Serge as a person. I like him a lot. But I think that a little knowledge is a dangerous thing. The path Serge will choose will be his own, and I wish him the best of luck. It’s not the path I would have chosen.
WWD: On your succession plan, you would have removed yourself from the design process?
TF: If I had stayed, Stefano would have been the person for Yves Saint Laurent. At Gucci, I had not yet finalized my successor.
