Finance & Capital Management

Fort Myers, Fla. – Higher costs reduced profits at Chico’s FAS Inc. during the first quarter of fiscal 2014 even as net sales grew. Chico’s reported net income of $39.88 million, a 22% year-over-year-drop from $51.12 million in the year-ago period.

New Albany, Ohio – Abercrombie & Fitch Co. and Abercrombie & Fitch Stores Inc. have offered to pay $96,000 to 13 assistant managers for failing to pay proper overtime wages, in connection with a lawsuit filed in the Eastern District of New York. This is in addition to prior offers from Abercrombie & Fitch to pay other assistant managers who had joined the lawsuit.  

Welch's has appointed Tom Dixon as chief marketing officer. Most recently, Dixon was VP and GM for the Schwan Food Company’s frozen pizza division.

“As a family-farmer owned business, Welch’s has been delivering the goodness of the grape to adults and children alike for generations,” said Dixon. “I’m excited to become part of this iconic brand with such a rich heritage and a portfolio of family favorites. I’m looking forward to continuing Welch’s tradition of bringing consumers nutritious and delicious products.”

Hong Kong - Michael Kors Holdings attributed impressive growth in net income, total revenues and same-store sales during fourth quarter 2014 to strong global demand for luxury items. Net income for the three months ended March 29 rose 59% to $161 million, from $101.1 million last year.

Total revenue increased 53.6% to $917.5 million. from $597.2 million. Same-store sales grew 26%. The addition of 101 corporate stores and 150 licensed stores, including concessions, also helped fuel results.

St. Louis -- Brown Shoe Company’s first quarter results exceeded expectations as the retailer swung to a profit. The company said it is raising its annual forecast.

Brown Shoe reported net earnings for the quarter of $15.4 million, compared to a net loss of $10.8 million in the year-ago period.

Net sales for the quarter increased 0.4% to $591.2 million, from $588.7 million for the prior-year quarter.

Women’s apparel retailer Chico’s FAS increased its store count by 99 units in the first quarter even as traffic declined and profits tumbled.

New York -- Legendary Los Angeles retailer Fred Segal is going global. The company, which was acquired by media and licensing company Sandow in 2012, plans to open up to 10 luxury retail lifestyle centers in the United States and across the world during the next five to 10 years. And leading the expansion will be its newly hired CEO, retail veteran Paul Blum, who most recently served as CEO of Juicy Couture. Prior to that, he served as CEO of David Yurman and Kenneth Cole Productions.

Conn’s, a specialty retailer of home appliances, furniture, mattresses, consumer electronics, announced the opening of its first two Conn’s HomePlus stores in Tennessee.

The HomePlus store format showcases furniture and mattresses in addition to the leading brands and the latest technologies in consumer electronics and home appliances. The stores are at Cross Creek, in Memphis, and at Town & Country Commons, in Knoxville.