Adelaide fashion designers George Gross and Harry Watt to retire their famous clothing lines

INTERNATIONALLY-renowned designers George Gross and Harry Watt are retiring after four decades of dressing the world's most beautiful women.

WORLD-renowned designers George Gross and Harry Watt are retiring after four decades of dressing the world's most stylish women.

Founded in Adelaide in 1973, their labels George Gross and Harry Who, which were worn by the late Princess Diana, will be no more.

Sixteen outlets across the country will close - 10 concept stores in David Jones will be vacated at the end of the month and the six boutiques by April. Gross said the 80 staff nationally - including 18 in SA - were yesterday told of the closure and would receive full entitlements.

"We told people personally where we could," Gross said.

Both aged in their early seventies, the business and life partners said they were both "way beyond" retirement age.

GALLERY: George Gross and Harry Watt over the years

"We are closing because it's time," Gross told The Advertiser in an exclusive interview.

"We are leaving on our own terms, we are not being forced to close. We've reached an age where it's time to smell the roses - less work and more play."

Their announcement comes after a turbulent 2013 for the national fashion industry.

Last year, Kirrily Johnston and Lisa Ho went into administration, Alannah Hill and Kit Willow left their labels and Collette Dinnigan decided to close parts of her business.

But for Gross and Watt, the past 12 months have been a success.

They spent the year working on their current - and final - spring summer collection. It has recorded strong sales - about five per cent up on 2012 - despite the challenging economic climate.

"Never in 40 years have we had a year when our business hasn't grown from the previous year," Gross said.

Gross and Watt also celebrated 40 years in the industry with events including an Advertiser Sunday Mail Foundation lunch, where they shared the secret of their success. "We have never had a five-year plan ... and suddenly it's 40 years," Gross said.

Arguably South Australia's most recognised and renowned designers, Gross and Watt helped put Australian fashion the map.

Described by Vogue editor-in-chief Edwina McCann as "two of the hardest-working designers", they have launched hundreds of collections over 80 seasons. Among them were a number for the US and European markets in the 1980s and '90s which at the time was a first for Australian designers.

Gross and Watt have also dressed the world's most photographed women, including actress Joan Collins and the late Princess Diana, which was a career highlight.

"The phone rang at 2am and it was our London agent telling us that Princess Diana had been into Harrods and bought six pieces," Watt said.

They represented Australia at the Bicentennial Wool Collection fashion event at Sydney Opera House, and were invited to design a Qantas uniform in the 1990s.

Creating countless jobs, Gross and Watt have fostered local talent like Liza Emanuele, who now has her own successful signature and bridal labels.

Discussing their plans, Gross and Watt said Adelaide would be a constant. "We will never move," Gross said.

He would like to continue mentoring emerging designers, while his twin sister Kathy, who lives in Sydney and is a company co-director, will volunteer. "Kathy was and continues to be my muse," Gross said.

Watt, who recently resumed landscape painting, says it is a hobby he will continue to enjoy. Both designers expressed confidence in the SA fashion industry.

Emanuele, Australian Fashion Labels, Paolo Sebastian and the winner of the SA Emerging Designer Award at the 2013 Adelaide Fashion Festival finale, Georgia Palmer, were names to watch, they said. "We have some very talented people here," Watt said.

Emanuele, 40, who was employed by Gross and Watt during her twenties, said she felt "very emotional" about their retirement from the industry.

"I have loved their clothes since I was 15 and I love them as people ... I can't say enough good things about them," she said. "They have done so much - 40 years in this industry is incredible - they more than deserve some rest and relaxation together."

Advertiser Sunday Mail Foundation patron Angela Condous said Gross and Watt were "Australian fashion icons". "It is the end of an era," she said.

Designers made us feel like starlets

EARLY on in my career when I was a serious newsreader in Broken Hill I was told to lighten up ... my mostly navy and charcoal wardrobe.

On a weekend visit to Adelaide I treated myself to a G2 turquoise jacket and matching skirt from George Gross and Harry Who at The Metro and, if I do say so myself, never looked better.

It wasn't just the exquisite colour, the suit also had an exceptional cut - as George and Harry devotees will attest.

Many years later as fashion editor for The Advertiser I met the men behind the label. They were charming and witty, revealing wonderfully wicked senses of humour the more I got to know them.

George is like a modern day Cary Grant and I am just as wild about Harry, who loves telling me tales about their beloved pet dog Bobby.

When they invited me to lunch and told me they were retiring I admit I got teary.

They have been a constant in our fashion industry for as long as I can remember, helping to create Australia's international profile leading the way for other overseas success stories such as Collette Dinnigan and sass&bide.

But I was also happy for them to be, as George said, leaving the industry on their own terms after what will be a great spring/summer filled with fresh citrus pieces and leopard print sequin dresses which would make any woman feel like a movie star.

- Anna Vlach

GEORGE GROSS AND HARRY WHO TIMELINE

1967: George Gross and Harry Watt meet at the South Australian Hotel

1973: George Gross and Harry Who are launched in a Rundle St boutique which also stocks imported labels. 10 staff work in the two-storey building - six in the upstairs workshop and four in the ground-floor retail space

1974: First NSW outlet opens in Sydney

1975: A wholesale business is started and is an instant hit picked up by retailers including David Jones and Myer.

1976-1985: George Gross and Harry win 11 awards at the Fashion Industries of Australia's Lyrebird Awards where they are also inducted into the Hall of Fame.

Late 70s First Victorian outlet opens in Melbourne

1983: Showcased in the TV miniseries Return to Eden

1986-1992: George Gross and Harry Who secure overseas agents, with stockists including Saks and Neiman Marcus in the US and Harrods in the UK. Outlets include stand-alone stores in Adelaide, London, Hong Kong, Brisbane, the Gold Coast, Melbourne and Sydney. George Gross and Harry Who also feature at Australian Fashion Week.

1988: Wheel of Fortune star Adriana Xenides wears the label on national TV

1989: Gross and Watt are invited to represent Australia at the Bicentennial Wool Collection fashion event at Sydney Opera House

1990: Princess Diana purchases six pieces from Harrods

1994-2003: Qantas flight attendants wear George Gross and Harry Who uniforms

2013: George Gross and Harry Watt celebrate 40 years in fashion

2014: Gross and Watt announce their retirement and closure of George Gross and Harry Who