Wet Seal Plans to Enter Catalog Business in ’98

COSTA MESA — Wet Seal Inc., the nation’s largest operator of mall-based junior women’s apparel and accessories stores, told shareholders Tuesday that it plans to open a catalog-order business.

The Irvine-based company, which next year will move its headquarters to Foothill Ranch, also said that its Blue Asphalt men’s clothing line is being expanded and that shoe sales at its Wet Seal and Contempo Casuals chains continue to grow.

The planned catalog division will make its debut early in 1998. Wet Seal President Edmond Thomas said the catalog operation might serve as a springboard for the Wet Seal and Contempo Casuals chains into Internet and international sales.

With the catalog sales operation, Wet Seal hopes to follow in the footsteps of Delia’s Inc., a New York-based catalog company that now distributes 8 million catalogs a year to Wet Seal’s core customers--girls and young women in the so-called Y Generation.

Wet Seal operates 364 Wet Seal and Contempo Casuals stores in 34 states and Puerto Rico.

Shareholders approved six fairly commonplace measures during the brief annual meeting at a hotel in Costa Mesa, but two anti-takeover measures were defeated.

Company officials mistakenly thought they needed just 50% of total votes cast to gain approval for the defensive measures when, in fact, they needed 50% of all outstanding shares. “We didn’t do our homework,” one company official said. “It should be a simple matter if we decide to try again next year.”