Patek Philippe

I just want to share some of the latest PP news directly from their CEO. Le Temps, a Geneva based newspaper reports an interview with T. Stern few days before Basel. Production is now 55,000; number of employees in Switzerland is 1,600 and 2,200 worldwide... 

But if that means more competitive pricing, then so be it. :)

be passed on to the customers......you must be dreaming;) The fashionable thing to do these days is minimise cost and maximise profit. However we are not talking about profit to the society here, we are talking about personal profit, the "toujours plus" s... 

Many people/companies are choosing their preferences. Like the recent vote with Ukraine and Russia, we also have Venice and Italy ( )... While some timepiece enthusiasts may choose to be romantic about Geneva, it is not the only location on planet Earth ... 

I have been leaving in Switzerland for seven years now and low tax rates are really reserved for foreigners that do not work here like formula 1 drivers and tennis players. I also happen to work in La Chaux-de-Fonds, I saw the new Patek Phillipe building ... 

that's for sure. Actually, I wouldn't mind at all if PP were not based in Geneva. I think Perth, on the Indian Ocean, would be the perfect place;) Cheers Francois from Down Under

don't get me wrong but i hope you're joking....did you really accept that PP move to another city or country? to pay less taxes? why they don't put some ETA movements inside so they can even more money? if you don't care about the PP's heritage, no doubt ... 

Here is part of the original article, you can Google-Translate it, the last paragraph in particular. Le Temps is a pretty serious newspaper, they interview T. Stern once or twice a year since watchmaking is an important industry in Switzerland, and last t...  

Interesting, thanks! So if they did 1.1 billion CHF in sales and sold 55,000 watches, that's 20,000 CHF per watch on average (and assumes no income from other activities such as servicing), right? Hmmm... Does that make sense? I would have thought it woul... 

Sounds about right. The bulk of those 55,000 watches will probably come from the lower end of the range, ladies' quartz watches etc. Also, bear in mind that they sell to ADs at wholesale and not retail...

Fair points - thanks.

Today, the same newspaper published some follow-ups; officials from Geneva canton are refusing to answer. It turns out that in Geneva canton, if you own your business like the Stern, you have to pay an annual tax of 1% of the value of the company (estimat... 

The holding could be elsewhere in Switzerland, with just an asssembling factory in Geneva. But I understand this is an important issue for PP.

.... as long as they make nice watches, if they move somewhere in another canton in switzerland, who cares.

hopeful this interview was meant to send a message to the tax masters in Geneva that it may be prudent to step back and re-think their tax policy or they may just find themselves losing others besides Patek. Of course the past twenty years has enriched th...