Style lost Paul Smith license, ¥5B in sales — 102-year-old bag maker went under

Style Co. was founded in 1923 as a Tokyo bag and leather goods maker. For decades its core business was a sublicense for Paul Smith bags and small leather goods in Japan, distributed through department stores and specialty retailers. At its peak in FY2018 the company posted ¥9 billion in sales.

The COVID-19 pandemic crushed department store traffic, Style's primary sales channel. Sales halved to ¥4.4 billion by FY2025, with an operating loss of ¥800 million. The Paul Smith sublicense was set to end in December 2025, and Style's attempts to replace the brand — launching Paul Stuart and Aura Kylie labels — failed to gain traction with retailers or consumers.

With sales declining, raw material costs rising on the weak yen, and no buyer willing to acquire the business, Style stopped operations on August 19, 2025 and filed for bankruptcy the following month. The Tokyo District Court opened proceedings on September 18, 2025, listing debts of ¥1.18 billion against 526 creditors. Some sources place total liabilities at ¥2.15 billion.