Ann Taylor Names New CEO
New York City, Ann Taylor Stores Corp. named Kay Krill to the additional post of CEO. At the same time, the company posted a fourth-quarter loss of $12.5 million, compared to a $31.8 million profit in the same quarter last year. Krill, who will take over the top spot from chairman Patrick Spainhour in October, is president of the company and is credited with turning the Ann Taylor Loft brand into the chain’s most profitable division.
Sales for the fourth quarter increased 8.6% to $487.3 million, up from $448.7 million in the same quarter last year. Same-store sales declined 4%, compared to a 15% increase last year.
For the fiscal year, net income declined to $63.3 million, down from $100.7 million in the prior year. Sales increased from $1.59 billion to $1.85 billion.
FTC Reportedly to Block Blockbuster Bid for Hollywood
Washington, D.C., The U.S. Federal Trade Commission’s (FTC) competition bureau plans to recommend that the agency block a hostile bid by Blockbuster to buy Hollywood Entertainment, according to published reports.
The FTC bureau is expected to make a formal recommendation to the agency’s five commissioners within the next several days on the Blockbuster bid for Hollywood. The FTC has agreed to make a decision by March 21 on whether it will oppose the combination of the two companies.
Neiman Marcus Considers Sale of Company
Dallas, The Neiman Marcus Group, Inc. today said it is considering selling the company as a strategic alternative to enhance shareholder value. The company added that it would not disclose details about its exploration of this or other strategic alternatives until the board has approved a transaction. The Group, which includes specialty retailers Neiman Marcus and Bergdorf Goodman, is retaining Goldman Sachs & Co. as the financial advisor in this endeavor.