COUNTY ON HOLD: County Seat Inc., Dallas, has put its planned initial public offering on hold due to poor market conditions.
“Comparable companies are priced too low right now, so we decided to wait until the market gets better,” said Edward A. Tomechko, vice president and treasurer of County Seat.
The jeanswear specialty chain planned to sell 5.4 million shares in the offering, which was first filed with the Securities and Exchange Commission in November 1994. Proceeds of approximately $74 million were to be used to retire debt.
Tomechko gave no time frame for reviving the offering, saying it depends on market conditions. Prospectuses for the offering were never distributed.
Most apparel retail stocks are trading near 52-week lows. Among some of County Seat’s specialty store competitors: Designs Inc., which sells Levi Strauss merchandise, closed at 7 3/4 Wednesday, down from a 1994 high of 17 1/2; The Gap closed at 32 1/8, off its 1994 high of 49 3/8, and Spiegel Inc., which owns Eddie Bauer, closed at 9 3/8, against a high of 26 3/4 in 1994.
County Seat operates about 680 stores. In the first nine months of 1994, it had a loss of $5.2 million on sales of $390.2 million. However, the company said it expected to make a profit for the full year.
NEW VP AT CHEROKEE: Tim Rothwell has been named vice president of sales and national sales manager for Cherokee Apparel, casual apparel and denim manufacturer in Sunland, Calif.
He reports to Joe Novak, president of Cherokee Apparel and Licensing. Rothwell’s responsibilities will include overseeing the national apparel sales staff and all sales and marketing for Cherokee’s misses’ and special sizes divisions.
NEW AT GENERRA: Former Rio Jeans and Code Bleu exec Bruce Bobrow has become a consultant to Generra, the Seattle, Wash., licensed sportswear company. He will be responsible for building Generra’s women’s business.
In addition, Taso Karras has been named to design the junior, misses’ and large-size Generra sportswear lines. He will work with Kathleen Healy-McVey, creative director at Generra.
Bobrow and Karras will work out of the New York showroom of ZAP Ltd., at 80 West 40th St. here, which handles all sales for Generra’s women’s apparel.