Standard & Poor's on Wednesday raised its debt rating on Saks Inc., which is under investigation by the Securities and Exchange Commission and federal prosecutors, citing a tender offer that cut debt by $585 million.
NEW YORK — Standard & Poor's on Wednesday raised its debt rating on Saks Inc., which is under investigation by the Securities and Exchange Commission and federal prosecutors, citing a tender offer that cut debt by $585 million.
The ratings remain on review and could be affected by future developments, including the expected sale of the retailer’s northern group of department stores. Belk Inc. bought the southern group — Proffitt’s and McRae’s — for $622 million and assumed $1 million in capitalized leases and other liabilities. S&P raised Saks’ corporate credit and senior unsecured debt ratings to “B+,” the fourth-highest junk rating, from “CCC+.”
A majority of creditors holding Saks Inc. debt agreed this month to a waiver of default and amendments related to the retailer’s tender offers and consent solicitations announced in June.
Saks Inc. is under investigation for its chargebacks policy and is working to restate earnings. The company has until Oct. 31 to file its annual report.
In a separate development, Saks said it will expand its 47,000-square-foot store in the Waterside Shops in Naples, Fla., by 20,000 square feet. The expansion, expected to be done by fall 2007, is part of a strategy of “focusing our resources on our more productive units,” Saks said in a statement.
It could also be a response to Nordstrom Inc., which has signed a letter of intent to open a two-level, 80,000-square-foot store in the same center. Nordstrom may open there in fall 2007 or spring 2008. Nordstrom is also opening at the Gardens Mall in Palm Beach Gardens in March, and at Aventura Mall in north Miami in fall 2007.
@kith is moving into children’s. The men’s and women’s streetwear brand has launched Kidset, a Kith kids line located in New York at 64 Bleecker Street. The line includes mini versions of staple Kith pieces like the Astor bomber jacket and the Kith box logo sweatshirts, along with a wall that can display up to 120 pairs of shoes from @adidas, @newbalance, @timberland and more. #wwdfashion
“I just wanted to create this fully rounded character, but I do think what excited me most was just the opportunity to give a group of people representation that I feel needs it. I like to do characters in projects that stand for something and Karolina definitely does, so that was really exciting to me,” @ginnygardner says of her new role in @hulu’s “The Runaways.” Gardner plays Karolina Dean, a queer superhero, which is a rarity for @marvel. Read more about Gardner’s character on WWD.com #wwdeye (📷: @dandoperalski)
@heriethpaul and @gracebol have a moment on the @victoriassecret fashion show 2017. See every look from the runway on WWD.com. Link in bio. (📷: @giovanni_giannoni_photo) #wwdfashion #victoriassecret #VSFashionShow
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia