NEW YORK — Shares of The Elder-Beerman Stores Corp. shot up 16.87 percent in trading Friday following the company’s announcement that it had signed an exclusive letter of intent agreement for a possible sale of the department store...
NEW YORK — Shares of The Elder-Beerman Stores Corp. shot up 16.87 percent in trading Friday following the company’s announcement that it had signed an exclusive letter of intent agreement for a possible sale of the department store company.
The retailer did not name the suitor, but said that it had recently received expressions of interest from several parties. It said that the exclusivity arrangement is for a limited time to further explore a possible purchase. Elder-Beerman also said it retained RBC Capital Markets as its adviser. The retailer further cautioned there “can be no assurance that these discussions will result in any transaction.”
That caution didn’t stop shareholders from voting yes with their dollars, with 316,400 shares changing hands compared with a daily average of just 15,227. The stock, which trades on the Nasdaq, reached a new 52-week high in intraday trading at $5.48, before settling down to close at $4.85, a 70 cent gain.
Back in 2000, the Midwestern chain was a frequent subject of takeover speculation and there also were expectations that it might be taken private pervasive in the marketplace. According to financial sources, those expressing interest in acquiring the retailer back then were retail chains, not investment firms.
The firm, instead, elected to restructure operations, which resulted in the elimination of 130 jobs in the corporate office. The restructuring plans included focusing on opening and moderate price points and cosmetics, as well as operating in smaller stores in less-competitive markets.
Elder-Beerman’s struggles back then were also the topic of shareholders’ discontent. Dissident shareholders wanted the company to be sold or its management overhauled in 1999 and 2000. Scott Davido, who joined the retailer in 1997 as general counsel and was named chief financial officer in 1999, was the sole survivor of a management troika that had included Frederick Mershad as chairman and chief executive officer and John Muskovich as president and chief operating officer. Muskovich left Elder-Beerman in July 2000 and Mershad left in January 2002. Davido has since left the company as well, and was succeeded by Edward Tomechko in the cfo spot in June 2002. Elder-Beerman is currently led by Byron “Bud” Bergren, who joined the firm as president and ceo in February 2002.Headquartered in Dayton, Ohio, the chain operates a total of 68 stores in eight Northeastern and Midwestern states. It plans to enter its ninth marketplace in November 2003 through the opening of its Muscatine, Iowa store. Saddled with a change in accounting principle and other one-time charges, Elder-Beerman lost $14.2 million, or $1.33 a diluted share, in fiscal 2002 as sales dipped slightly to $670.6 million.
“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
Azzedine Alaïa's “I-did-it-my-way” ethos stood out starkly at a time when brands are experimenting with consumer-facing fashion shows, coed formats and trans-seasonal collections – anything to perk up lackluster sales of ready-to-wear in an age of Insta-everything. “It’s not creation anymore. This becomes a purely industrial approach,” the late designer told WWD in an interview last year. “But anyway, the rhythm of collections is so stupid. It’s unsustainable. There are too many collections.” Read more about the iconic designer’s life and work on wwd.com, link in bio. #wwdfashion #azzedinealaia (📷: @WWD Archive, 1986) #alaia
Sneaker reselling app @goat’s latest exhibit, "The Greatest: New York," tells the story of New York's sneaker culture. To celebrate the exhibit, an intimate crowd gathered on Thursday night at the pop-up gallery space, located at Platform in Culver City, to hear guest speaker and illustrator @esymai talk about her own rise in streetwear and women in the business. "For me I'm just someone who is creative. I like to create things," said Chang. #wwdfashion
Azzedine Alaïa, one of the most iconic couturiers of the modern era whose body-con designs defined Eighties fashion, has died in Paris. The diminutive Tunisian-born designer, known for his structured knitted dresses with fitted waists and impeccably cut, figure-hugging second skin silhouettes was deeply admired by his peers, and counted supermodel Naomi Campbell - his adoptive daughter - among his inner circle, one of a gang of glamazons including Farida Khelfa, Carla Bruni and Stephanie Seymour who became ambassadors of his style. (📷: Alexandre Guirkinger) #wwdblast