Hess files to spin off retail business
New York — Hess Retail Corporation, a wholly-owned subsidiary of global energy company Hess Corporation, has filed a Form 10 Registration Statement with the U.S. Securities and Exchange Commission. The form contains a preliminary information statement about the potential terms and conditions of a spin-off of Hess Retail Corporation to the stockholders of Hess Corporation.
It also includes information about Hess Retail Corporation as a standalone company, including financial, capital structure, business, risk factor and management and governance information. Hess Corporation has received a Private Letter Ruling from the Internal Revenue Service that will allow it to distribute the business to stockholders in a tax-free spin-off.
Simultaneous with pursuing a spin of the retail business, Hess Corporation will also solicit offers to purchase the entire retail business from potential buyers. Following receipt of any such offers, the Hess Corporation board of directors will determine which alternative it believes best serves the long-term interests of all Hess Corporation stockholders.
Barnes & Noble appoints current president to CEO
New York – Barnes & Noble, Inc. has appointed president Michael P. Huseby to CEO. Immediately, in his role, Huseby will be responsible for all of the company’s business units including Barnes & Noble Retail, Barnes & Noble College and Nook Media.
He will report to the board of directors and has been elected to serve on the board. Huseby joined Barnes & Noble as CFO in March 2012, and was promoted to president in July 2013.
“Since the day he joined the company, Mike has proven to be an excellent financial and business executive, whose leadership skills have earned the respect of the entire organization, as well as our board of directors,” said Leonard Riggio, chairman, Barnes & Noble, Inc. “Although a relative newcomer to the retail book business, he has quickly developed a comprehensive understanding of the unique opportunities and challenges the Company faces, and he has a vision for the future in which I am in complete accord. Mike also has a passion for bookselling, which makes him a perfect fit for this job.”
J.C. Penney reports “pleasing” performance
J.C. Penney provided an ambiguous update on its holiday season performance, indicating it showed continued progress in its turnaround efforts and was “pleased” with its performance.
The company released a brief and vague statement Wednesday morning in which it noted, “customers responded well to the company’s offerings this holiday season, both in stores and online.”
J.C. Penney affirmed an equally vague outlook shared with investors on Nov. 20, 2013, when the company reported third quarter results. At the time, the company said it expected same store sales and gross margins to improve sequentially from the 4.8% comp decline and 29.5% gross margin rate reported during the third quarter.
Additional guidance called for expenses to decline and in a nod to those who were forecasting the company’s demise in advance of the holidays it forecast year end total availability liquidity in excess of $2 billion.
The company did not provide an earnings forecast in conjunction with its third quarter results, but two weeks later on Dec. 3, in another move to appease anxious investors, the company disclosed that November same store sales had increased 10.1%. Then, as now, the company noted it was “pleased” with its performance. However with its most recent announcement J.C. Penney stopped short of quantifying the magnitude of its pleasure.