Loehmann’s to close up to 15 stores over 12 months
New York City Discount department store retailer Loehmann’s said late Thursday that it will shutter as many as 15 stores over the next year and sell off the inventory.
Loehmann’s Capital Corp., which is restructuring debt coming due next year, said more than half of its noteholders have agreed to let the company close the stores.
Loehmann’s, which is owned by Dubai investment group Istithmar, a unit of Dubai World, operates 60 stores in 16 states.
Noteholders signed a consent solicitation that allows for a higher cap on borrowing that will let Loemann’s increase its revolving credit facility by $10 million, the company said. In September, Loehmann’s opened a debt exchange due Oct. 27 to exchange two classes of notes due in 2011 for corresponding notes due in 2014. It needs 97% of holders to approve the exchange.
According to an Oct. 14 release, the deadline for holders to receive $1,000 of new notes in exchange for $1,000 of old notes is October 22. A previous release said that date to receive those exchange terms was Oct. 13. Holders who exchange after Oct. 22 will receive $970 in new notes for each $1,000 in old notes, the company said
Target helps cardholders save
MINNEAPOLIS Target is offering customers that shop with their Target REDcard to save 5% on nearly all purchases at any Target store or on Target.com.
Beginning Oct. 17, the retailer said it would extend the savings program to all Target REDcard products, including the Target credit card, Target Visa credit card and Target debit card. In addition to receiving 5% off nearly all purchases using a REDcard, guests will receive a coupon good for 5% off a future day of shopping every time they fill five prescriptions at a Target pharmacy with a Target REDcard.
This new rewards program will replace the existing rewards program in which new account holders receive an initial 10% off coupon and existing cardholders earn coupons for 10% off a future day of shopping. The existing program ends on Oct. 16 at close of business.
“This innovative, new initiative will provide Target REDcard holders with tremendous value on our exciting merchandise assortment –– everything from electronics to fresh food,” said Terry Scully, Target financial services president. “This program makes Target’s low prices even lower, so there’s no need for Target REDcard holders to shop around.”
NACS names supplier board chairman
ATLANTA Hershey’s VP customer industry affairs recently joined the National Association of Convenience Stores’ supplier board as chairman.
Tom Joyce will serve as the NACS supplier board chairman for the 2010-2011 term, NACS said. The NACS Supplier Board is comprised of individuals from NACS supplier member companies that represent different product and service categories in the convenience store industry.
In related news, VP convenience sales for Jack Link’s Beef Jerky, Scott Hill, will serve as chairman of the NACS supplier board for the 2011-2012 term.
Joyce and Hill were named to their positions during the NACS supplier board meeting at the NACS Show in Atlanta. As chair and chair-elect of the NACS Supplier Board, Joyce and Hill also serve as members of the NACS board of directors.