Legal News

Revlon Pulling Out of China
Download PDF
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)

International cosmetic maker Revlon is closing shop and pulling out of China. The move will lead to a reduction of almost 15 percent of Revlon’s current workforce – the first major strategic move taken by the company following the induction of a new CEO in November.

In a filing with the U.S. Securities and Exchange Commission, the New York-based company said that about 2 percent of Revlon’s net sales take place in China, and the restructuring of its business will make the company liable for about $22 million of pretax charges. The restructuring is also expected to save the company a sum close to $11 million per year beginning with a savings of about $8 million in 2014.


With Revlon ceasing its operations in China, at least 1,100 jobs would be eliminated including the jobs of 940 beauty advisers. Unlike the market in U.S. where Revlon products are sold through third parties, in China, the “beauty advisers” working at the Revlon makeup counters are Revlon employees.

To dispel speculations, Revlon said that the restructuring is not related to Revlon’s recent acquisition of Colomer. In November, Colomer CEO Lorenzo Delpani had taken over as the CEO of Revlon after Revlon purchased Colomer for a sum of $660 million. This led to closure of the Colomer Group.

The company has been posting declines in profits in both 2011 and 2012, though the acquisition of the Colomer Group has added to its strengths in a specific market segment shared by competitors like Unilever and Procter & Gamble.

Get JD Journal in Your Mail

Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!

China’s $20 billion cosmetics industry remains as a growth opportunity few companies are able to cash on with success. Cut-throat competition from online retailers and foreign currency fluctuations make it difficult to operate among a host of other issues including both cultural barriers and socioeconomic structures.


Revlon is withdrawing itself from China and is shutting shop in the country. This strategic move by the international cosmetic brand maker, following the induction of Lorenzo Delpani, now CEO of Revlon will help the company save close to $11 million per year beginning with a savings of about $8 million in 2014. With the company ceasing its operations in China, 1,100 layoffs are expected including the jobs of 940 beauty advisers. This restructuring will make the company liable for about $22 million of pretax charges.



Litigation Attorney

USA-FL-Fort Lauderdale

Seeking a qualified Transactional Attorney with experience in litigation, covenant enforcement and c...

Apply now

Consumer Defense Litigation Attorney


SESSIONS, FISHMAN, NATHAN & ISRAEL seeks an experienced attorney to join its commercial litigation /...

Apply now

Bankruptcy and Restructuring Partner / Associate


Buckley King is seeking both a partner and a mid-level associate to represent both creditors and deb...

Apply now

Patent Attorney Burlington, VT / Lebanon, NH


DRM is seeking an experienced patent attorney having a portable book of business and a strong b...

Apply now




Search Now

Litigation Associate Attorney


Pittsburgh office of a BCG Attorney Search Top Ranked Law Firm seeks associate attorney with 3+ year...

Apply Now

Junior Antitrust Associate Attorney


Washington, D.C. office of a BCG Attorney Search Top Ranked Law Firm seeks junior antitrust associat...

Apply Now

Civil Litigation (Insurance Defense) Associate Attorney

USA-CA-San Diego

San Diego office of our client seeks civil litigation (insurance defense) associate attorney with ex...

Apply Now

Most Popular


To Top