Destination Maternity Prepays $10M of Term Loan Debt
Philadelphia Destination Maternity Corp. has prepaid $10 million of its senior-secured term loan due March 2013 as a part of its effort to deleverage its balance sheet.
On Nov.18, the company announced that it intended to prepay $10 million of its term loan prior to the end of the first quarter of fiscal 2009 (Dec. 31). The $10 million of term-loan prepayments the company has made since that announcement include a $622,000 prepayment required under the annual excess cash-flow provision of the term loan. Pursuant to the provisions of the term loan, the prepayments were made without any prepayment premium or penalty.
The company’s indebtedness under the term loan is now $65.7 million.
Jeffries to continue on as A&F ceo
NEW ALBANY Abercrombie & Fitch announced that it had entered into a new employment agreement with Michael Jeffries, the company’s chairman and chief executive officer.
Jeffries’ prior employment agreement was scheduled to expire on Dec. 31. The new employment agreement, which is being filed with the Securities and Exchange Commission today as an exhibit to a Form 8-K, is scheduled to expire on Feb. 1, 2014.
CVS confirms FY earnings guidance
WOONSOCKET, R.I. CVS Caremark has issued a confirmation of its 2008 earnings guidance range, previously given during the company’s third quarter conference call on Oct. 30.
CVS Caremark expects diluted, adjusted earnings per share of $2.42 to $2.47 for FY 2008, including the impact of the Longs Drugs transaction.
“There is no question that the economy continues to be difficult and consumers are reacting with increasing caution,” said Tom Ryan, chairman, president and ceo of CVS Caremark. “Our total same-store sales for October grew 4.3%, and in November were up 6.1%. It appears that December’s comps will be well short of those levels. Nevertheless, through careful margin and cost management, we expect to be able to deliver results within our previously announced earnings range for 2008.”