CARSON’S PREPAYING $40M IN NOTES
NEW YORK — Carson Pirie Scott & Co. said it will redeem $40 million in subordinated notes in a move expected to reduce interest costs by $3 million annually.
The retailer, based in Milwaukee, said it has notified Harris Trust & Savings Bank, the trustee of the notes, that it will redeem the 13 percent notes due in 2005 at a redemption price equal to par plus accrued interest.
Carson issued the notes in an original amount of $57 million and redeemed $17 million of them in October.
In addition to the anticipated interest savings, Stanton J. Bluestone, president and chief executive officer, said the redemption “will not diminish our financial flexibility to pursue growth opportunities or our previously announced $10 million stock buyback program.”