Vornado Realty Trust logged a $98.8 million first-quarter loss on its star-crossed investment in J.C. Penney Co. Inc.
The red ink included $39.5 million in noncash impairment losses on its remaining stake in the company, a $36.8 million loss on the sale of 10 million Penney’s shares in March and a $22.5 million loss on derivatives tied to the retailer.
Those losses helped cut Vornado’s first-quarter funds from operations — the standard yardstick of financial performance for real estate companies — by 42 percent to $201.8 million from $348.5 million a year earlier. Adjusting away the Penney’s losses and other items, the firm’s funds from operations rose 14.1 percent to $213.3 million.
Vornado chairman Steven Roth helped activist investor William Ackman shake up Penney’s, buying control over more than 25 percent of the retailer’s stock in 2010. Former chief executive officer Ron Johnson was installed the next year and began to remake Penney’s, eliminating coupons, cutting brands and steering away from the traditional department store layout and toward a cluster of shops-in-shop.
Johnson pushed ahead with little consumer testing and ultimately led the company to a loss of nearly $1 billion last year as sales dropped 25 percent.
@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