- Kristopher Fraser
-
|
In a first for luxury fashion, Prada has signed a sustainability linked 50
million euro five-year loan agreement with Crédit Agricole Group. The terms
of the agreement state that interest rates will be adjusted based on
certain sustainability goals being met, such as using a certain amount of
Re-Nylon, certifying Prada stores as LEED Gold or Platinum, or providing
employees with a set number of training hours.
Alessandra Cozzani, the company’s chief financial officer, told Vogue
Business that, “This transaction demonstrates that sustainability is a key
element for the development of the Prada Group, increasingly integrated
into our strategy.” With sustainability being so relevant to the
longevity of both the fashion industry and the environment right now, Prada
chose a brilliant time to make this move.
As consumers are also becoming more conscious about where their products
are coming from and how they impact the environment, fashion brands are
responding accordingly for both customer retention and to bring in new
clients. With Prada being the first to take this type of eco-friendly step,
other luxury brands can look to them as a model to follow suit. A domino
effect could begin for luxury brands to go more green.
photo: via Prada.com
