Versace Will Remain In The Hole Until 2011

Italian fashion house Versace is doing everything they can to break even by 2011 and they're doing everything they can to cut costs and increase revenue.

CEO Gian Giacomo Ferraris' has already made the decision to slash roughly 25% of their workforce along with closing down both their US press offices and accessories factory in Milan.

But in order to counter act the cuts and closures Versace has launched a lower-priced Versace Collection that will cost 30-40% cheaper than their main line and an even lower priced line designed by Christopher Kane called Versus.

It also looks like Versace will be following in King Giorgio's footsteps and plans to open up a hotel-residence in Dubai.

Oh, and we can't forget they're attempting to sell what will probably be a ridiculously priced cell phone.

Seems like they're putting all their eggs in different high priced baskets. Hopefully it'll work out for them.

[Image via AP Images.]