The American shoe company has acquired Daniel M. Friedman & Associates, a U.S. company that develops and makes handbags, belts and related accessories, paying $18 million cash and pledging to add an additional sum based on future profitability.

According to preliminary results, Steven Madden’s sales increased by 7-8 percent to $84.5 million for the 4th quarter, thanks to a better-than-expected 14 percent gain in the wholesale sector. This gain was partially offset by a decline in total retail sales of about 1.6 percent. Within the retail division, same-store sales dropped by 6.5 percent, in contrast with growth of 9.5 percent in the same quarter a year ago. The company said this was mainly due to lower promotional sales and to the phase-out of certain accessory items in preparation for the re-launch of handbags, belts and other such items in the 1st quarter. Specific numbers for Steven Madden’s gross margins will only be provided on March 2, but the company said that they improved in both the wholesale and retail segments.

Meanwhile, Steven Madden has appointed Matt Joyce to act as president of its women’s wholesale division. He will report directly to Amelia Newton Varela, executive vice president of wholesale sales. Joyce comes from Nine West Group, where he was group president. Rob Schmertz has been promoted from brand manager and president of the company’s women’s wholesale division to brand director. He continues to report to Jamieson Karson, Steven Madden’s chairman and chief executive.