Swatch Group and Tiffany & Co., have entered into a pact to develop, produce and distribute Tiffany watches, worldwide. The scope of deliverables of the Swatch Group includes setting up a new watch-making company in Switzerland, which will manufacture an entire line of Tiffany watches. Swatch would use Tiffany's trademarks and operate under its name. This unit will be wholly owned by Swatch, with one Board seat allotted to Tiffany.%%Tiffany's Chairman and CEO Michael Kowalski, said that, "Swatch Group is the best conceivable strategic partner for Tiffany’s long-planned re-entry into watch distribution.” The watches will be distributed via the Swatch Group network and Tiffany stores. The Swatch Group affiliates will be allowed to establish and operate Tiffany stores in certain markets outside the USA.%%According to Swatch's President and CEO Nick Hayek Jr., "Tiffany & Co is a true luxury brand with a long-standing heritage in watches. The two companies will collaborate on design, engineering, manufacturing, marketing, distribution and service”.