Chico’s FAS, Inc. Announces Investment
Fort Myers, Fla., Chico’s FAS, Inc. announced Tuesday that it is finalizing a $10 million purchase of a minority interest in lucy activewear, which will give Chico’s one representative on the lucy board of directors. The purchase marks another step in Chico’s plan to explore investments in companies offering significant future growth opportunities.
Scott A. Edmonds, president and CEO of Chico’s FAS, Inc., said, “We are very pleased to have the opportunity to invest in lucy activewear. … Given the size of the lucy investment together with the future potential for the company, we think opportunities of this nature are important strategic uses of our cash.”
Lucy activewear is a privately owned specialty retailer based in Portland, Ore. Chico’s is a specialty retailer of private-label, casual-to-dressy clothing, intimates, accessories and other non-clothing gift items.
IKEA Eyes Specialty Grocery Market
Plymouth Meeting, Pa., Swedish home-furnishings retailer IKEA has announced it will move into the grocery market next year with its own-label products. The company plans to offer mainly Swedish fare, including roll-mop herring and smoked elk sausage.
The announcement follows Wal-Mart’s announced plans to expand operations into the rest of Europe.
Kroger Grocer Unaffected by Mislabeled Grapes
Compton, Calif., Kroger-owned grocer Ralphs announced today that it has seen no impact from last week’s controversial mislabeling of Mexican grapes as California-grown.
Although the California Dept. of Food and Agriculture (CDFA) has launched an investigation of the matter, Ralphs said, to its customers, it’s a non-issue.
Mislabeling produce can result in prosecution and fines as high as $3,000 for every bag of mis-advertised fruit sold.