Rite Aid delays reverse split to regain NYSE compliance
Camp Hill, Pa. Rite Aid Corp. said Monday it has delayed a previously announced reverse stock split, after the New York Stock Exchange suspended its minimum share-price-listing rule.
“The suspension provides Rite Aid with additional time and flexibility to regain compliance with the rule,” the retailer said.
Rite Aid had originally announced plans in October for a 1-for-10, 1-for-15 or 1-for-20 reverse split after being notified by the NYSE that it was no longer in compliance with the share-price rule.
Shareholders approved the move in December, but late last month, the NYSE suspended application of the rule requiring a monthly average closing price of at least $1. The exchange’s rule suspension is slated to last until June 30.
Albertsons, Supervalu extend transitional services agreement
BOISE, Idaho Albertsons announced that it has reached an agreement with Supervalu, which allows Albertsons the option to extend the transitional services agreement through Dec. 31, 2014. The TSA was originally signed in June 2006 when the respective companies purchased portions of Albertsons.
Through the TSA, Albertsons has a relationship with Supervalu, where a series of infrastructure services are provided. The purpose of the TSA is to provide Albertsons with the necessary back office infrastructure to run the business efficiently.
Dillard’s reports 4Q loss
LITTLE ROCK, Ark. Dillard’s announced that net loss for the fourth quarter ended Jan. 31 was $149.3 million ($2.03 per share). Net income for the fourth quarter ended Feb. 2, 2008 was $47.3 million ($0.63 per share).
Net sales for the fourth quarter were $2.039 billion compared to net sales of $2.163 billion for the same period last year. Total merchandise sales declined 9% during the 13-week period. Merchandise sales in comparable-stores declined 8%.