Bag’n Baggage Looks for Buyer
Dallas Bag’n Baggage filed for Chapter 11 Bankruptcy Protection on Sunday in Texas’s Northern U.S. District Court in Dallas. It has retained Clear Thinking Group to help find a buyer for the company.
“We had some significant interest just prior to the bankruptcy petition being filed, and believe that we will have a buyer finalized in the next couple of weeks,” said Patrick Sullivan, CEO of Bag’n Baggage, which currently operates 33 stores in 10 states.
The company plans to take bids from potential bidders for all of its assets during the next 10 days, with an auction expected to be held in late May.
“We anticipate that this will be a very quick sale process, and hope to have a buyer approved by the bankruptcy court by the end of this month,” Sullivan said.
Sullivan said the company’s management spent the past year examining the business, looking for ways to strategically improve performance across all its stores.
“Over the last year, we made some very positive strides in improving our performance,” he said. “However, the impact of the uncertainty in this current economic market resulted in a downturn in our business that we simply did not have the means to withstand.”
JPMorgan to invest in Target credit card business
MINNEAPOLIS Target has announced an agreement under which JPMorgan Chase would invest in Target’s credit card receivables. At closing Target would sell an undivided interest in its credit card receivables to JPMorgan Chase for cash proceeds of approximately $3.6 billion. This interest would represent approximately 47% of the principal amount of Target’s outstanding receivables at that time. This transaction is expected to close before the end of May.
“This unique agreement accomplishes the goals set forth in the review of receivables ownership that we initiated on Sept. 12, 2007,” said Doug Scovanner, evp and cfo of Target. “It provides significant liquidity to Target from a single source unrelated to debt capital markets, provides an appropriate sharing of the portfolio benefits and risks between Target and JPMorgan Chase, and allows our guests to continue to benefit from the creativity and expertise of the world-class team at Target Financial Services. Most importantly, this innovative transaction marks the beginning of a long-term credit card relationship between Target and JPMorgan Chase, which we believe will create substantial financial and strategic rewards for both of us over time.”
On March 12, Target announced that it was in negotiations with an investment partner to sell an undivided interest in approximately half of Target’s credit card receivables for about $4 billion.
Nomoto named Sunkist Global managing director
SHERMAN OAKS, Calif. Michael Nomoto, a veteran exporter from Southern California, has been named managing director of Sunkist’s global sourcing organization, Sunkist Global LLC. He replaces Mark Tompkins who was tapped earlier this year to lead Sunkist’s domestic fresh fruit sales network.
In his new position, Nomoto is responsible for securing production and folding it seamlessly into the Sunkist international sales and delivery network.
Nomoto is a 16-year veteran of Nishimoto Trading, whose U.S. operations are headquartered in Santa Fe Springs, California. As export manager, he procured U.S. grown produce, including citrus, vegetables and tropical fruit, for the Japanese and Chinese markets.