Cherokee Group, a North Hollywood-based apparel concern, said it acquired 80% of Chutes Corp. from three parties for an undisclosed amount of cash. Chutes, with headquarters in Seattle, imports and markets apparel under the Code-Bleu trademark.
Cherokee purchased 70% of Chutes from Bayly Corp., a Denver-based clothing company, and another 10% from Chutes' top two executives, Mel Matsui and Carol Jones. Matsui and Jones still own the remaining 20% of Chutes and will continue to manage the company, according to Cary Cooper, Cherokee's executive vice president.
In the nine months ended Aug. 29, Cherokee's sales totaled $106.5 million. Chutes' sales for its fiscal year ended Sept. 30 were $33 million, Cooper said.