H.Stern, Leviev to Establish East Block Jewelry Chain Store

Jeweler H.Stern and diamond mogul Lev Leviev have reportedly signed an agreement to establish a jewelry chain store in Russia and Commonwealth of Independent States (CIS) countries. The enterprise will be held equally between the two.

The chain store will offer H.Stern’s brand jewelry and watches as well as establish a new Leviev jewelry brand that will be set with diamonds mined and polished by the Leviev Group. Once this happens, Leviev will have operations throughout the entire diamond pipeline – from mining to retail.

The first store is scheduled to open in Moscow in early 2006. The sides plan to open 50 stores by 2010 in the same type of locations that H.Stern is currently located: shopping centers, airports, hotels and city centers.

They will also be similar in size, about 150 square meters per store. They plan to invest about $2 million in each branch.