CHECKING BARNEYS’ NUMBERS
NEW YORK — As a private company, complete figures on Barneys are not available, but some numbers have been disclosed on a selective basis.
The Barneys Inc. petition lists total liabilities of $361.4 million and total assets of $381.5 billion. Barneys figures show a total debt of about 18 times equity — a highly leveraged condition. Also, these numbers do not include the $168 million Isetan claims it lent Preen Realty Inc., a Barneys affiliate that is currently in default. Barneys contends the advances to Preen were an equity investment.
Charles Bunstine, president of Barneys, said Thursday that 85 percent of Barneys’ debts are to banks and insurance companies. He also said that in the year ended July 31, 1995, the company earned $9.5 million on sales of $291 million. He did not provide profit figures for the period from August through December, but he said sales were up more than 13 percent to $177.65 million from $156.4 million. Same-store sales for the same period were up 12 percent, according to Bunstine, and the gross margin was 50.5 percent.
Sales growth is projected at 9.9 percent for 1997 and 10.3 percent for 1998. The estimate includes store openings and expansion of existing units.
Meanwhile, for the 30 days following the Chapter 11 filing, the company’s petition says it expects to pay out $35 million in cash and take in $20.1 million during the same period. Of the expenditures, Barneys will pay out $24.3 million, and its affiliate, Barneys America, will pay out $11.7 million.