Winn-Dixie Plans to Sell Bahamas Operations
Chicago, Winn-Dixie Stores said it plans to sell its operations in the Bahamas to a local company in an effort to remove itself from Chapter 11 this summer. Winn-Dixie and 23 of its subsidiaries, which filed for bankruptcy on Feb. 21, 2005, said it would sell the 12 supermarkets it operates in the Bahamas under the City Markets and Winn-Dixie banners. The bankruptcy filing did not include the operations in the Bahamas. Winn-Dixie will sell its stake of about 78% in Bahamas Supermarkets Ltd. to local Bahamian company BK Foods Ltd. for about $50 million.
Dollar Tree Acquires Deal$ Stores
Chesapeake, Va., Dollar Tree Stores, Inc. completed its acquisition of 138 stores and related assets of the SuperValu-owned discount store Deal$-Nothing Over a Dollar. Dollar Tree acquired 138 Deal$ stores for approximately $30.5 million. Dollar Tree also purchased approximately $22.2 million of inventory, subject to verification, from Deal$. All Deal$ stores will continue to operate under the Deal$ banner.
Federated Seeks Increase in Common Shares
Cincinnati, The board of directors of Federated Department Stores, Inc. said it plans to split the company’s common stock on a two-for-one basis if shareholders approve an increase in the number of authorized shares of company common stock. The stock split would occur through a dividend entitling each shareholder of record to receive one additional share of common stock for every one share owned. The company will seek shareholder approval for an increase in the number of authorized shares of Federated common stock.