Jones Group Q4 loss widens, but revenue beats Street
New York — The Jones Group Inc. reported a loss of $80.3 million for the three months through Dec. 31, compared with a loss of $21.1 million a year earlier. The company said that marking down the value of some assets widened its loss.
Revenue for the fourth quarter rose 8.8% to $971.9 million, better than the $955.3 million Wall Street was expecting.
For the year, Jones Group lost $56.1 million, versus a profit of $50.7 million in 2011. Annual revenue rose to $3.8 billion from $3.79 billion.
"Our financial position remains strong, said John T. McClain, CFO, Jones Group. “We ended the year with $150 million in cash and our revolver undrawn. We are approaching our 2013 inventory commitments with conservatism, consistent with 2012. With a continued focus on inventory management, expense control, and operational efficiencies, we believe we will continue to improve margins and maintain a strong balance sheet."
J.C. Penney increased credit facility
New York — J. C. Penney Co boosted its borrowing capacity under a bank credit facility by $100 million to $1.85 billion and expanded an option to borrow more at a later date.
"As we enter the second year of our transformation, today’s announcement reflects the confidence of our banking group in our long-term strategy and further strengthens our liquidity position as we continue to execute our plan," J.C. Penny CFO Ken Hannah said in a statement.
The new arrangements included a $150 million increase in the credit facility’s accordion feature to $400 million and a $250 million increase in an additional feature, analysts said. An accordion feature allows a borrower to expand a credit facility at a later date.
Corner Bakery Café to open 16 locations in greater New York area
Dallas — Corner Bakery Cafe announced plans to open 16 restaurants in six counties in the greater New York City area as part of a recent multi-unit agreement with CBCWSNY. The group of restaurant operators plans to open its first restaurant in 2013 and the remaining sites over the next six years.
Corner Bakery Cafe opened 20 new cafes and signed another 125 cafes in 2012, raising the total to 147 open cafes and 288 cafes under development, as the company moves forward on its goal to double its U.S. footprint by the end of 2015.