Genesco Sues to Complete $1.5B Buyout
Nashville, Tenn., Genesco Inc. is suing The Finish Line Inc. to complete its $1.5 billion buyout, Genesco announced Friday.
The lawsuit seeks an order to enforce Finish Line’s agreement with investment bank UBS AG to finance most of the deal. UBS announced earlier it had stopped processing the closing documents for the deal because of concerns about Genesco’s financial performance since the deal was struck.
Genesco’s chairman and CEO, Hal N. Pennington, has accused UBS of trying to back out of the deal because of upheaval in the credit market and not because of Genesco’s financial performance.
“No more delays by The Finish Line and UBS; no more reservation of rights; no more bankers’ putting their pencils down,” Pennington said in a release. “We want a court of competent jurisdiction to enforce our rights under the Merger Agreement and for The Finish Line and UBS to live up to their obligations.”
Genesco said late last month that it swung to a loss of $4.2 million in the quarter ended Aug. 4. That compared to a profit of $5.9 million in the year-ago quarter.
Kirkland’s names interim merchandising gm
JACKSON, Tenn. Kirkland’s has announced that Christine Treganowan, the company’s divisional merchandising manager, will serve as interim general merchandising manager. She is replacing Sharyn Hejcl, who has resigned as the company’s vp and general merchandising manager to pursue other interests.
Prior to joining Kirkland’s in June 2007, Treganowan enjoyed a 23-year career with Sears Holdings and its predecessor, Kmart Corp., most recently as its divisional vp of store operations. She also held several merchandising positions at Sears Holdings, including as its divisional vp, merchandising and divisional merchandise manager of home.
Jablonski to retire as head of Shaw’s
EDEN PRAIRIE, Minn. Supervalu announced today that Carl Jablonski, president of the company’s Shaw’s banner in New England, has decided to retire after 38 years with the company. Larry Wahlstrom, president of the company’s Jewel-Osco banner in Chicago, will replace Jablonski as president of Shaw’s. Wahlstrom will be succeeded by Keith Nielsen, Jewel-Osco’s senior vp of operations.
“Carl Jablonski has had a remarkable career that has included a number of significant contributions to our ongoing success. On behalf of Supervalu, I would like to express my thanks and appreciation for Carl’s years of service and wish him well in his retirement,” Jeff Noddle, Supervalu chairman and ceo, said.
Wahlstrom will move to Shaw’s immediately to transition responsibilities from Jablonski, who will stay with the company through the end of the month. Jablonski will be available through the end of the year to assist with the transition. Nielsen, a 40-year veteran of the company, will step into the president role at Jewel-Osco this week.
Wahlstrom is a 37-year veteran of the company with a wide range of experience in both food and drug store operations. He began his career at Osco Drug as a store associate in Green Bay, Wis., before rising through the ranks in a number of leadership roles including store director and vp of the Osco New England division, and president of one of the Albertsons food divisions. He also held a number of corporate leadership assignments for Albertsons before becoming president of Jewel-Osco in 2004.
Nielsen has served as Jewel-Osco’s senior vp of operations for the past eight years. Prior to his most recent assignment, Nielsen held a variety of leadership roles of increasing responsibility, including store director, district manager, and area vp.