(Corrects spelling of designer's given name in headline)
Jan 2 Tiffany & Co and jewelry designer
Elsa Peretti have reached a new 20-year license agreement,
removing a cloud of doubt hanging over a collection that
accounts for about 10 percent of the upscale jeweler's global
Peretti, who has been designing high-end jewelry exclusively
for Tiffany since 1974, in May was considering ending her
agreement with Tiffany and tried to sell the jeweler her
intellectual property, but the parties could not agree on a
According to terms of their new deal, reached last week and
disclosed in a regulatory filing on Wednesday, Tiffany will make
a one-time $47 million payment to Peretti, in addition to
royalties for Tiffany's use of her intellectual property rights.
Tiffany is required to devote space in its stores and part
of its advertising budget to Peretti's jewelry.
Elsa Peretti's collection for Tiffany includes items that
range in price from a $60 bookmark in ruthenium over copper to a
$22,000 heart-shaped pendant with pave diamonds in platinum.
Tiffany is set to report its holiday sales on Jan. 10.
Shares were up 1.2 percent to $58.03 in premarket trading.
(Reporting by Phil Wahba; Editing by Gerald E. McCormick)