Forever 21 bids for 16 Gottschalks stores
Fresno, Calif. Forever 21 has submitted a bid to take over 16 shuttered Gottschalks stores.
The fast-fashion retailer asked a bankruptcy court to buy three Gottschalks stores and take over the leases of 13 others, according to court documents. Gottschalks, which is currently undergoing bankruptcy liquidation at its 58 stores, supports Forever 21’s $17.7 million bid for the 16 locations. The bid is part of Forever 21’s plan to continue the store expansion it began since buying 15 bankrupt Mervyns stores in January.
If approved by a bankruptcy judge, the move would buoy cities that have been worried about the loss in sales tax revenue from Gottschalks’ demise.
Supervalu CEO responds to claims about retirement
MINNEAPOLIS Supervalu CEO Jeff Noddle rejected claims that he was forced out of his position because of poor performance or his refusal to break up the company.
Noddle told the Minneapolis/St. Paul Business Journal that he had been planning to retire for several years.
Analysts had questioned Noddle’s retirement and believed he was forced out because Supervalu’s board wanted to take action, including the possible sale of some of the company’s businesses, to turn around Supervalu’s financial performance.
Target finds fault in RiskMetrics report
MINNEAPOLIS Target pointed out a number of flaws in a RiskMetrics report on Target’s ongoing proxy contest.
According to reports, Target noted in a white paper that the proxy firm was incorrect in calling the company’s real estate ownership “atypical” and noted that other big-box retailers, including Lowe’s and Costco all own a large amount of their U.S. real estate. Target took issue with RiskMetrics’ claim that the retailer was resistant to change, pointing out that it has added six new board members since 2002.
RiskMetrics, according to reports, is supporting Pershing Square’s William Ackman and former Starbucks CEO James Donald for Target’s board.