Talbots Gets New $50 Million Credit Facility
Hingham, Mass. The Talbots Inc. said Wednesday that its majority shareholder, Aeon Co., has agreed to provide the retailer with a $50 million unsecured subordinated term loan to support its turnaround plan.
The facility, which matures Jan. 28, 2012, will increase the company’s total working-capital borrowing capacity to $215 million.
“While we believe we had in place sufficient liquidity to fund the turnaround of our business, this new credit facility will provide us with an additional level of assurance and even greater flexibility to weather the current uncertainty in the credit markets,” said president and CEO Trudy F. Sullivan.
Last week, Talbots said it will cut 129 jobs in its corporate offices, affecting about 9% of its employees there. The company also eliminated its post of COO, currently held by Philip Kowalczyk.
Talbots has a goal of reducing costs by a total of $100 million by the end of the next fiscal year.
Sullivan noted that the company is experiencing improving sales trends at both of the company’s brands, and remains on track to meet its 2008 earnings-per-share guidance.
Walgreens to acquire Express Scripts
DEERFIELD, Ill. Walgreens announced that through its subsidiary OptionCare Enterprises it will acquire Express Scripts, a Louisville, Ky.-based home infusion pharmacy division. Terms of the agreement were not disclosed. The parties expect the transaction to close within 30 days.
“This acquisition further expands our national coverage in home infusion services,” said Paul Mastrapa, president of Walgreens-OptionCare. “CuraScript IP is highly regarded in the industry for its clinical expertise and commitment to exceptional patient care. We welcome this addition to our infusion pharmacy network and look forward to reaching even more patients with this combined high level of personalized therapy and support.”
RadioShack hold DTV info sessions
FORT WORTH, Texas RadioShack is partnering with the American Library Association to help educate the consumers nationwide about the Digital Television (DTV) Transition set to begin in all 50 states and Puerto Rico on Feb. 17, 2009, and at noon, Sept. 8, in the test market of Wilmington, N.C.
Through this partnership, RadioShack’s 4,500 company stores and many of the 1,000-plus participating franchise stores will offer knowledgeable team members to 16,000 ALA public libraries to host educational sessions for library patrons. Included in these sessions will be information about why the digital television transition is occurring, the benefits digital television offers television viewers, what people need to do in order to continue receiving over-the-air television broadcasts after the conversion occurs, and how to apply for up to two $40 government coupons per household to help reduce the costs of obtaining a digital converter box. RadioShack’s education outreach will also include demonstrations on how to successfully set up a digital converter box to an analog television set.
“We’re excited to be partnering with the American Library Association in the ongoing effort to help educate everyone about this milestone event in television broadcasting history,” said Peter Whitsett, RadioShack’s evp, general merchandising manager. “Consumer education is the number-one key to ensuring a smooth digital transition. While we have focused on store training and advertising to communicate the digital transition to our customers, we want to take advantage of every opportunity to extend our reputation as the trusted neighborhood electronics advisor into the community as a whole. I can think of no better way to do this than by having our knowledgeable team members meet fact-to-face with library patrons to explain the transition and answer questions.”