Once a popular household name, Revlon is not seeing good days. Bankruptcy attorneys said 'Revlon is now engaging with possible purchases, this is a way to exit from Chapter 11 as quickly as possible.'

World Business Watch: Bankrupt Revlon entertaining sale offers

Indian multinational company Reliance Industries is considering buying out Revlon Inc in the United States, days after the cosmetics giant filed for bankruptcy.

The report comes as Revlon filed for bankruptcy earlier this week after global supply chain disruptions drove up raw material costs and prompted vendors to demand upfront payments.

In a court filing late Wednesday, the company initiated Chapter 11 proceedings to manage its debt, which it said stood between $1 billion and $10 billion.

Revlon, known for its signature nail polish and lipstick, reported long-term liabilities of $3.3 billion in the first quarter.

"Today's filing will allow Revlon to offer our consumers the iconic products we have delivered for decades while providing a clearer path for our future growth," CEO Debra Perelman said in a statement on Wednesday.

In the United States, Chapter 11, known as reorganization bankruptcy, allows firms to restructure themselves while being protected from creditors and continuing to operate.

The company said it expects to receive $575 million in financing from its lenders if its bankruptcy is approved in court.

Owned by billionaire investor Ronald Perelman and run by his daughter, Debra Perelman, Revlon reported a net loss of $67 million from January to March.

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The company, which lists Elizabeth Arden, Almay, and Britney Spears Fragrances among its brands and has operations in more than 150 countries, has suffered from the global supply chain crisis and high inflation.

Revlon also has also faced increasingly tough competition, which has hurt revenue in recent years.

Reliance has pushed its way into the fashion and personal care space in recent months as it diversifies away from its mainstay oil business. It has already established a foothold in the telecom and retail sectors.

(with inputs from agencies)

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Indian multinational company Reliance Industries is considering buying out Revlon Inc in the United States, days after the cosmetics giant filed for bankruptcy. The report comes as Revlon filed for bankruptcy earlier this week after global supply chain disruptions drove up raw material costs and prompted vendors to demand upfront payments.

Indian multinational company Reliance Industries is considering buying out Revlon Inc in the United States, days after the cosmetics giant filed for bankruptcy. The report comes as Revlon filed for bankruptcy earlier this week after global supply chain disruptions drove up raw material costs and prompted vendors to demand upfront payments. In a court filing late Wednesday, the company initiated Chapter 11 proceedings to manage its debt, which it said stood between $1 billion and $10 billion. Revlon, known for its signature nail polish and lipstick, reported long-term liabilities of $3.3 billion in the first quarter. "Today's filing will allow Revlon to offer our consumers the iconic products we have delivered for decades while providing a clearer path for our future growth," CEO Debra Perelman said in a statement on Wednesday. In the United States, Chapter 11, known as reorganization bankruptcy, allows firms to restructure themselves while being protected from creditors and continuing to operate. The company said it expects to receive $575 million in financing from its lenders if its bankruptcy is approved in court. Owned by billionaire investor Ronald Perelman and run by his daughter, Debra Perelman, Revlon reported a net loss of $67 million from January to March. Also Read: Can polar bears survive without Arctic ice? Scientists think so. Here's why The company, which lists Elizabeth Arden, Almay, and Britney Spears Fragrances among its brands and has operations in more than 150 countries, has suffered from the global supply chain crisis and high inflation. Revlon also has also faced increasingly tough competition, which has hurt revenue in recent years. Reliance has pushed its way into the fashion and personal care space in recent months as it diversifies away from its mainstay oil business. It has already established a foothold in the telecom and retail sectors. (with inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Reliance Industries plans to buy American bankrupt company Revlon

Revlon Inc filed for Chapter 11 bankruptcy protection on Wednesday after struggling to compete with online-focused upstart brands in recent years.

The nail polish and lipstick maker, controlled by billionaire Ron Perelman's MacAndrews &amp; Forbes, listed assets and liabilities between $1 billion and $10 billion, according to a filing with the US&nbsp;Bankruptcy Court for the Southern District of New York.

The bankruptcy filing comes days after the Wall Street Journal reported Revlon had begun talks with lenders ahead of looming maturities of debt to avoid bankruptcy.

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Revlon's sales have struggled amid supply bottlenecks and a failure to swiftly switch to in-demand skincare, losing shelf space in US&nbsp;stores to startups backed by celebrities such as Kylie Jenner's Kylie Cosmetics and Fenty Beauty by Rihanna.

In contrast, rival Coty Inc has gained market share by investing heavily to improve supplies and cater to a post-pandemic rebound in demand for mascara and lipsticks.

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Revlon, which has been helmed by Perelman's daughter Debra Perelman since mid-2018, had long-term debt of $3.31 billion as of March 31.

Formed in 1932 by brothers Charles and Joseph Revson and Charles Lachman, Revlon was sold to MacAndrews &amp; Forbes in 1985 and went public 11 years later. The company bought Elizabeth Arden in an $870 million deal in 2016 to strengthen its skincare business.

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But Revlon's net sales in 2021 declined 22 per cent&nbsp;from its 2017 levels amid rising competition. The company also made headlines two years ago when Citigroup Inc accidentally sent nearly $900 million of its own money to Revlon's lenders, rather than a small interest payment. A U.S. federal judge, however, ruled it was not entitled to recoup the money.

Revlon, which started off selling nail enamel nearly 90 years ago, also houses several brands including Britney Spears Fragrances and Christina Aguilera Fragrances.

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Revlon Inc filed for Chapter 11 bankruptcy protection on Wednesday after struggling to compete with online-focused upstart brands in recent years. The nail polish and lipstick maker, controlled by billionaire Ron Perelman's MacAndrews & Forbes, listed assets and liabilities between $1 billion and $10 billion, according to a filing with the US Bankruptcy Court for the Southern District of New York.

Revlon Inc filed for Chapter 11 bankruptcy protection on Wednesday after struggling to compete with online-focused upstart brands in recent years. The nail polish and lipstick maker, controlled by billionaire Ron Perelman's MacAndrews & Forbes, listed assets and liabilities between $1 billion and $10 billion, according to a filing with the US Bankruptcy Court for the Southern District of New York. The bankruptcy filing comes days after the Wall Street Journal reported Revlon had begun talks with lenders ahead of looming maturities of debt to avoid bankruptcy. Also read | Wall Street stocks crash; S&P 500 enters 'bear market' amid recession fears Revlon's sales have struggled amid supply bottlenecks and a failure to swiftly switch to in-demand skincare, losing shelf space in US stores to startups backed by celebrities such as Kylie Jenner's Kylie Cosmetics and Fenty Beauty by Rihanna. In contrast, rival Coty Inc has gained market share by investing heavily to improve supplies and cater to a post-pandemic rebound in demand for mascara and lipsticks. Watch | Gravitas: Is a global recession coming? Revlon, which has been helmed by Perelman's daughter Debra Perelman since mid-2018, had long-term debt of $3.31 billion as of March 31. Formed in 1932 by brothers Charles and Joseph Revson and Charles Lachman, Revlon was sold to MacAndrews & Forbes in 1985 and went public 11 years later. The company bought Elizabeth Arden in an $870 million deal in 2016 to strengthen its skincare business. Also read | Wall Street stocks sank after inflation hit a 40-year high But Revlon's net sales in 2021 declined 22 per cent from its 2017 levels amid rising competition. The company also made headlines two years ago when Citigroup Inc accidentally sent nearly $900 million of its own money to Revlon's lenders, rather than a small interest payment. A U.S. federal judge, however, ruled it was not entitled to recoup the money. Revlon, which started off selling nail enamel nearly 90 years ago, also houses several brands including Britney Spears Fragrances and Christina Aguilera Fragrances. WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Cosmetics company Revlon files for bankruptcy protection

Chanel, Revlon and L'Oreal, three of the biggest brands in cosmetics, are quietly moving away from using talc in some products as US&nbsp;cancer lawsuits and consumer concerns mount.

Luxury beauty company Chanel has removed talc from a loose face powder and dropped a talc body powder because of negative perceptions around the mineral, court documents reviewed by Reuters show.&nbsp;

Revlon Inc removed talc from its body products, and L'Oreal SA is exploring alternatives for the mineral, those companies told Reuters.&nbsp;

The moves come amid a reappraisal of talc in body powders and cosmetics by consumers, regulators and manufacturers. Talc - which is sometimes found in the same rock as asbestos, a potent carcinogen - is used in thousands of cosmetic and personal care products to absorb moisture, prevent caking and add softness.

Thousands of cancer lawsuits, some dating back to 2013, have been filed against body-powder market leader Johnson &amp; Johnson. Allegations that asbestos contamination caused plaintiffs` cancers began in 2017. Other makers of talc powders also face suits, including Revlon, Chanel and Avon, securities filings and court records show.

Scrutiny of talc products intensified after a 2018 Reuters investigation&nbsp;reported that J&amp;J knew for decades that asbestos lurked in its talc and powders. The company has disputed Reuters’ report and maintains its powders are safe and asbestos free.

J&amp;J announced last month that it would stop selling talc Baby Powder in the United States and Canada, attributing the decision to declining sales and negative publicity.

In March, a Chanel representative disclosed in a court deposition that in 2017 the company had stopped making a talc-based body powder, scented with its iconic No. 5 fragrance that it had made since 1924. The deposition was taken in a 2018 case filed in a Los Angeles court. In it, a California woman alleges she got mesothelioma, in part from asbestos-tainted Chanel and J&amp;J powders she used for decades.

Asbestos is the only well established cause of mesothelioma, an incurable rare cancer of the lining of the lungs and other organs.

Chanel representative Amy Wyatt said in the deposition that Chanel was sued for the first time over its talc powder in 2016 and she denied Chanel powders contained asbestos.&nbsp;"We know that it was a safe product," Wyatt said in the deposition. But "we determined from public perception to remove it from the market."

Wyatt said Chanel had also removed talc from its loose face powder, but she was not sure when the new formulation would be on the market. She did not say what the talc was replaced with.&nbsp;

Chanel told Reuters that it routinely updates its products "to ensure we continue to meet our customers` changing needs and expectations," a spokeswoman said in an email.

Chanel, which continues to use talc in other products including pressed powder, blush and eye shadow, said all the talc it uses is "selected according to strict purity criteria, fully complies with current global regulations, and is safe under standard conditions of cosmetic use." 
 
A Revlon spokesman told Reuters the company removed talc from its body products. He declined to say when or why; he also declined to comment on litigation.&nbsp;

L`Oreal said it is looking for a talc replacement but has not found anything that works as well.

"Well known partial alternatives exist, and we continue to explore and seriously consider performant alternatives," a spokeswoman told Reuters in an email. "But none meet the same performance for our products."&nbsp; 
L’Oreal - like other companies - requires its suppliers to certify annually that its talc is asbestos-free, and it does in-house testing, she said.

"We have not detected any trace of asbestos in any of our raw materials containing more than 20% talcum powder," L`Oreal`s spokeswoman said.&nbsp;

Other personal care companies have also stopped selling talc powder. Germany`s Beiersdorf said it switched to corn starch in its Nivea baby powder in 2018. Bausch Health changed the formula of its Shower to Shower powder in 2018 "to keep the product in line with market trends and customer preferences," and not because of safety concerns, a spokeswoman said.

Bausch, which last sold talc powder in February 2019, has been named in 165 lawsuits; 12 are pending, securities filings show.&nbsp;

Avon, which declined to comment, said in a securities filing that 128 lawsuits were pending against it over talc products.&nbsp;

Sanofi, maker of Gold Bond powder, told Reuters it stood by the safety of its talc powder and was "vigorously" contesting talc lawsuits against it.&nbsp;"Sanofi will continue to evaluate its product offerings in light of supply and consumer demand," a spokesman said.&nbsp;

Globally, consumers are expected to purchase 139,350 tonnes of talc this year, down 0.6 percent from last year, according to Euromonitor International.&nbsp;

Last year, during an analysis of 52 talc-containing cosmetic products, the U.S. Food and Drug Administration found asbestos in nine products, including three sold by tween retailer Claire`s and one bottle of Johnson’s Baby Powder. All products were voluntarily recalled.

A spokeswoman said Claire`s had stopped using talc, and replaced it with mica in most of its products.&nbsp;

The FDA is analyzing 50 more samples this year and is considering establishing an asbestos testing standard. Canada`s Health Ministry tentatively concluded in 2018 that talc itself may cause lung problems if inhaled, and ovarian cancer if used in the genital area. A final decision, expected next year, could lead to a ban or restriction on the use of talc in certain products in Canada.

Chanel, Revlon and L'Oreal, three of the biggest brands in cosmetics, are quietly moving away from using talc in some products as US cancer lawsuits and consumer concerns mount.

Chanel, Revlon and L'Oreal, three of the biggest brands in cosmetics, are quietly moving away from using talc in some products as US cancer lawsuits and consumer concerns mount. Luxury beauty company Chanel has removed talc from a loose face powder and dropped a talc body powder because of negative perceptions around the mineral, court documents reviewed by Reuters show. Revlon Inc removed talc from its body products, and L'Oreal SA is exploring alternatives for the mineral, those companies told Reuters. The moves come amid a reappraisal of talc in body powders and cosmetics by consumers, regulators and manufacturers. Talc - which is sometimes found in the same rock as asbestos, a potent carcinogen - is used in thousands of cosmetic and personal care products to absorb moisture, prevent caking and add softness. Thousands of cancer lawsuits, some dating back to 2013, have been filed against body-powder market leader Johnson & Johnson. Allegations that asbestos contamination caused plaintiffs` cancers began in 2017. Other makers of talc powders also face suits, including Revlon, Chanel and Avon, securities filings and court records show. Scrutiny of talc products intensified after a 2018 Reuters investigation reported that J&J knew for decades that asbestos lurked in its talc and powders. The company has disputed Reuters’ report and maintains its powders are safe and asbestos free. J&J announced last month that it would stop selling talc Baby Powder in the United States and Canada, attributing the decision to declining sales and negative publicity. In March, a Chanel representative disclosed in a court deposition that in 2017 the company had stopped making a talc-based body powder, scented with its iconic No. 5 fragrance that it had made since 1924. The deposition was taken in a 2018 case filed in a Los Angeles court. In it, a California woman alleges she got mesothelioma, in part from asbestos-tainted Chanel and J&J powders she used for decades. Asbestos is the only well established cause of mesothelioma, an incurable rare cancer of the lining of the lungs and other organs. Chanel representative Amy Wyatt said in the deposition that Chanel was sued for the first time over its talc powder in 2016 and she denied Chanel powders contained asbestos. "We know that it was a safe product," Wyatt said in the deposition. But "we determined from public perception to remove it from the market." Wyatt said Chanel had also removed talc from its loose face powder, but she was not sure when the new formulation would be on the market. She did not say what the talc was replaced with. Chanel told Reuters that it routinely updates its products "to ensure we continue to meet our customers` changing needs and expectations," a spokeswoman said in an email. Chanel, which continues to use talc in other products including pressed powder, blush and eye shadow, said all the talc it uses is "selected according to strict purity criteria, fully complies with current global regulations, and is safe under standard conditions of cosmetic use." A Revlon spokesman told Reuters the company removed talc from its body products. He declined to say when or why; he also declined to comment on litigation. L`Oreal said it is looking for a talc replacement but has not found anything that works as well. "Well known partial alternatives exist, and we continue to explore and seriously consider performant alternatives," a spokeswoman told Reuters in an email. "But none meet the same performance for our products." L’Oreal - like other companies - requires its suppliers to certify annually that its talc is asbestos-free, and it does in-house testing, she said. "We have not detected any trace of asbestos in any of our raw materials containing more than 20% talcum powder," L`Oreal`s spokeswoman said. Other personal care companies have also stopped selling talc powder. Germany`s Beiersdorf said it switched to corn starch in its Nivea baby powder in 2018. Bausch Health changed the formula of its Shower to Shower powder in 2018 "to keep the product in line with market trends and customer preferences," and not because of safety concerns, a spokeswoman said. Bausch, which last sold talc powder in February 2019, has been named in 165 lawsuits; 12 are pending, securities filings show. Avon, which declined to comment, said in a securities filing that 128 lawsuits were pending against it over talc products. Sanofi, maker of Gold Bond powder, told Reuters it stood by the safety of its talc powder and was "vigorously" contesting talc lawsuits against it. "Sanofi will continue to evaluate its product offerings in light of supply and consumer demand," a spokesman said. Globally, consumers are expected to purchase 139,350 tonnes of talc this year, down 0.6 percent from last year, according to Euromonitor International. Last year, during an analysis of 52 talc-containing cosmetic products, the U.S. Food and Drug Administration found asbestos in nine products, including three sold by tween retailer Claire`s and one bottle of Johnson’s Baby Powder. All products were voluntarily recalled. A spokeswoman said Claire`s had stopped using talc, and replaced it with mica in most of its products. The FDA is analyzing 50 more samples this year and is considering establishing an asbestos testing standard. Canada`s Health Ministry tentatively concluded in 2018 that talc itself may cause lung problems if inhaled, and ovarian cancer if used in the genital area. A final decision, expected next year, could lead to a ban or restriction on the use of talc in certain products in Canada.

Chanel, Revlon, L'Oreal pivoting away from talc in some products

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