RAPAPORT... • Ronald Winston retired as an executive at Harry Winston Inc., the company his father, Harry, founded. After 118 years, there will no longer be a Winston in the diamond house bearing the family name. Ronald Winston, 67, joined Harry Winston in 1965 and took over when his father died in 1978. Under his leadership, the firm expanded from two stores into a global empire with jewelry stores in the Far East and a watch business in Switzerland. Winston was appointed honorary chairman of the corporation and will continue to advise the company in the future. Winston stated that he was retiring to focus on writing a book, “The King of Diamonds,” about the family’s history and to work at The Institute for Human Genetics and Biochemistry, a private research foundation he founded thirty years ago. The institute has made several breakthroughs toward a nonvaccine cure for AIDS.
• Tiffany & Co. stockholders elected Lawrence K. Fish and Peter W. May to its board of directors. They join seven incumbent directors who were reelected.
Fish, 63, is chairman of both Royal Bank of Scotland America and Citizens Financial Group, Inc. May, 65, is president and founding partner of Trian Partners, a New York-based investment management firm. They will replace William R. Chaney and James E. Quinn. Chaney is retiring as a director of the company, while Quinn continues to serve as president. Stockholders also approved the adoption of the 2008 directors equity compensation plan and PricewaterhouseCoopers as the independent registered public accounting firm to audit Tiffany’s consolidated financial statements for fiscal year 2008.
• Michael Don became chief executive officer (CEO) of Whitehall Jewelers Holdings, Inc., replacing Edward Dayoob, who will remain chairman of the board and serve as a consultant. Don joined Whitehall as executive vice president and chief financial officer (CFO) in November 2006. He was appointed president and chief operating officer in August 2007.
• Mahiar Borhanjoo has been appointed Diamond Trading Company’s (DTC) executive director of sales and client services. Borhanjoo comes from a client relations and customer service background at Etelcare Global Solutions in Los Angeles, where he most recently served as vice president of financial services and customer care.
• International bank HSBC plans to establish a diamond banking unit in Dubai to finance local and regional diamond trade, according to the Dubai Multi Commodities Centre (DMCC). The move came as a result of DMCC’s initiatives to promote diamond banking in the United Arab Emirates (UAE). HSBC’s new unit will provide a full range of banking services to the diamond industry, including import credits, working capital and receivables financing. The new unit will also offer factoring services, precious metals hedging and physical services. DMCC did not say when HSBC would open the unit.
• Israel-based Yerushalmi Bros. won the 2007 Exporter Excellence Award given out by Israel’s Ministry of Industry, Trade and Labor. This Diamond Trading Company (DTC) sightholder also won the award in 2005, making it the only company to be recognized twice since the Ministry reinstated the jewelry category. The diamond manufacturer was Israel’s sixth-largest exporter of polished diamonds last year at $161 million, growing nearly 9 percent between 2006 and 2007.
• Sundance Diamonds of Orem, Utah, appointed Louis “Sonny” Pope as general manager of the company’s existing diamond processing business and its newly launched Suncrest Diamonds business. Pope will oversee all current and future business operations for Sundance Diamonds and Suncrest Diamonds. Pope holds an MBA from Brigham Young University and has worked with Sundance Diamonds as the director of research and development since 2002. Sundance Diamonds is a leading High Pressure-High Temperature (HPHT) diamond processing company.
• Hong Kong-based Dimexon Eurostar Jewellery granted jewelry manufacturer Memoire exclusive distribution rights for its diamond jewelry in North America, which Memoire will market under the name “Memoire Boutique.” Vishal Mehta, chief executive officer (CEO) of Dimexon, reported that the partnership would help Dimexon achieve its ambitions in North America more quickly. Memoire has manufactured diamond jewelry in the U.S. for more than 20 years, selling its products exclusively to the “guild” end of the market and distributing through a select group of authorized Memoire retailers. Dimexon Eurostar Jewelry is the Hong Kong unit of the Dimexon Group of Companies. Its jewelry is distributed through Dimexon offices in six countries, including India, Belgium, Hong Kong, Italy, United Arab Emirates (UAE) and the U.S.
• The Gemological Institute of America (GIA) Museum is building a comprehensive collection of jewelry, objet d’art and gemstones from all time periods and cultures for its historical collection. Elise Misiorowski, museum director, stated that the goal is to bring together a variety of significant items representing different episodes in history. She added that it is important to preserve the story of contemporary pieces as the gems and jewelry of today become the antiques of tomorrow. The museum already displays a late-18th-century diamond floral brooch and a corsage ornament featuring a pink topaz and diamonds from around 1905. The museum plans to exhibit the GIA Historical Collection in other venues on a regular basis, accompanied by lecturers and experts. Pieces from the collection will also be showcased via podcasts and other educational vehicles.
• GIA elected Jeffrey H. Fischer, James P. Shinehouse and Ephraim Zion to its board of governors. Fischer is president of Fischer Diamonds, Inc., in New York City and Fischer Diamonds, Ltd., in Israel. He serves as president of the International Diamond Manufacturers Association (IDMA), vice chair of the World Diamond Council (WDC) and a member of the board of directors for the Jewelers Vigilance Committee (JVC). Fisher is also the former president of the Diamond Manufacturers & Importers Association of America (DMIA). Shinehouse is a managing director at Kroll International. His specialty is helping North American-based businesses with complex corporate restructurings. Shinehouse also leads forensic accounting investigations and is regularly hired as an expert witness. Zion is an owner and managing director at Dehres, which has offices in New York, Tel Aviv, Shanghai and Thailand.
• The American Gem Society (AGS) elected six new members to its international board of directors. The six new members are: Ronnie Cox of Cox Jewelers; Bill Farmer of Farmer’s Jewelry; John Nash of Nash Jewellers; Michael Richards of Underwood’s Jewelers; Charles Rosario of Lazare Kaplan International; and Laura Stanley of Stanley Jewelers Gemologist. Members completing their terms on the board of directors include: Craig Underwood of Underwood’s Jewelers; Clayton Bromberg of Underwood’s Jewelers; Georgie Gleim of Gleim the Jeweler; John Michaels of Michaels Jewelers; Harton Wolf of Henne Jewelers; and Michael Greene of Wick and Greene Jewelers. The board oversees all policy matters for AGS and approves the annual budget.
Margaret De Young was appointed deputy executive director for AGS. De Young will be responsible for the society’s overall operations, including marketing and management of the annual membership Conclave. Most recently, De Young served as senior manager of sales and customer relations at the Gemological Institute of America (GIA). Previously, she oversaw marketing and sales initiatives for Ernest Slotar, a diamond wholesaler in Chicago.
• Suashish Diamonds Limited appointed Vijay Kumar Chopra as a nonexecutive independent director on its board of directors. Chopra, a chartered accountant, began his career with Central Bank of India before being appointed a director at IDBI Bank. Most recently, he served as a full member of the Securities and Exchange Board of India (SEBI).
• The Missouri Jewelers and Watchmakers Association (MJWA) elected Dale Gordon of Gordon Jewelers in Boonville, Missouri, president at the group’s annual convention. Gordon succeeds Leo Anglo of Vincent’s Jewelers in Creve Coeur, Missouri. MJWA elected the following officers to the board of directors: Stacey Stauch, first vice president, of Crews Jewelry in Grandview, Missouri; Melody Farnen, second vice president, of Melody’s Quality Jewelers in Mexico, Missouri; and Paul Dodds, treasurer, of Paul Dodds Jewelry in Lee’s Summit, Missouri. During the convention dinner, MJWA honored Sharon Blair of Shawnee Mission, Kansas, on her 25th anniversary as the group’s executive director. Founded in 1906, MJWA is among the oldest state associations of jewelry professionals in the U.S.
• The International Gemological Institute (IGI) announced the launch of the IGI Love View Box, a customized ring box. When opened, the wood-like finished box reveals an LCD screen that can play multimedia data downloaded via a USB port. The box includes a calendar and a recording mechanism, which allows users to record a voice message that is played when the box is opened. Consumers can download their own videos or photos to the box or it can be used as a sales tool displaying retailers’ logos or advertisements. The box also includes a credit-card-sized IGI Diamond/Gemstone Certification Report. IGI launched the Love View Box at JCK Las Vegas.
• Inventor Boris Zolotar Loginov of La Jolla, California, has been issued a patent for a device designed to distinguish natural diamonds from simulants. Loginov claims his prototype is a major improvement from existing detectors because it is faster and safer to conduct tests with and detects moissanite more accurately. Similar field kits are commonly in use, but most require 1,000 volts of electricity and additional time for their copper elements to heat up. They can also fail to detect newer generations of moissanite, which have the same electrical conductivity as natural diamonds. To overcome these problems, Loginov created a photoconductivity test that utilizes a bright white LED light. Loginov’s invention requires only 300 volts of electricity, reduces warm-up time to two to three seconds and correctly identifies newer moissanite.
• MVI Marketing purchased a stake in web development company ITECH Solutions for an undisclosed amount. Marty Hurwitz, MVI’s chief executive officer (CEO), stated that the acquisition would enable the company to offer web development services to the gem, jewelry and watch industries. MVI has begun working with ITECH on web development projects for jewelry manufacturers and retailers, including inventory management and integration, search engine optimization, customer relationship management, e-commerce and shopping cart solutions, viral marketing and Adword campaigns.
Article from the Rapaport Magazine - June 2008. To subscribe click here.