By Staff -- Home Textiles Today, 6/6/2005 12:00:00 AM
Saks Looking More Into Chargebacks
Saks Incorporated has revealed that its Audit Committee is embarking on an additional inquiry into previously disclosed improper vendor chargebacks.
The new inquiry will focus on the timing of the recording of inventory markdown and vendor markdown allowances at Saks Fifth Avenue Enterprises (SAFE); whether there have been any over-collections of vendor markdown allowances in any of the merchandising divisions of SAFE that were not the subject of the Audit Committee's prior internal investigation; and whether the company has improperly charged any of its merchandise vendors any fees for failure to comply with the company's logistics, transportation, or billing policies.
LNT Teams With Berkus
Linens 'n Things is partnering with decorator Nate Berkus to launch the Nate Berkus collection — billed as an affordable line of home decorating products across most categories in the store.
The line — covering bedding, bath, tabletop, and home accessories — will launch this fall exclusively at Linens 'n Things stores and LNT.com. It will feature an assortment of nearly 600 skus.
Restructuring Costs Sears $60 Million
Sears Holdings Corp. plans to spend $60 million as it lays off and relocates employees while restructuring Kmart. The company will spend about $30 million of that sum to relocate employees from Kmart's headquarters in Troy, Mich., to Sears' headquarters in Hoffman Estates, Ill., the company said in a filing with the Securities and Exchange Commission. The remaining $30 million will cover termination benefits, the company reported.
Hancock Secures $110 Million in Credit
Hancock Fabrics has entered into an agreement with Wachovia Bank, National Association, and Wachovia Capital Markets LLC for a secured revolving loan and letter of credit facility of up to $110 million.
The new facility would replace Hancock's current unsecured $50 million credit agreement and will have substantially less restrictive operating covenants, according to the company.
Family Dollar Lowers Target
Family Dollar warned that its earnings per share for the third quarter would fall below the previously expected target of 33 to 37 cents. In last year's third quarter, EPS was 42 cents. The culprit: lower-than-expected comps. Comps for the quarter ended May 28 rose 1.3 percent. Soft lines comps — which include apparel — dropped 2.6 percent. Total sales for the period rose 9 percent to $1.4 billion.
ShopKo Gets Green Light From FTC
ShopKo Stores, Inc. has been cleared to proceed with its acquisition by an affiliate of Minneapolis-based private equity investment firm Goldner Hawn Johnson & Morrison Incorporated. The FTC informed ShopKo that it was granted early termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act that would have held up the deal.
We would love your feedback!