Finance & Capital Management

A 1,500-store market potential and an untapped online opportunity await Michaels Stores in 2014 as the retailer’s private equity owners look to sell a portion of their stake and return the nation’s largest arts and crafts retailer to public ownership.
 

New York – A Dutch arbitration panel has ordered Tiffany & Co. to pay Swatch damages of about $449.5 million plus interest in a breach of contract case dating back to 2011. The dispute stems from Swatch’s claim that Tiffany failed to honor its obligation to develop and sell Swatch watches under the Tiffany name and split the profits.

Southern Wine & Spirits has enhanced its forecasting and replenishment capabilities with the appointment of Mel Velez as VP of demand planning and logistics.

The company said the addition of Velez to an already industry leading supply chain management team will further enhance its ability to deliver excellence in service to divisional and retail customers, as well as to continue to enhance and expand partnerships with suppliers across the Southern enterprise. He will report to Phil Morsing, VP of supply chain operations.

Hampstead, Md. – The board of directors of Jos. A. Bank Clothiers, Inc. has unanimously rejected a non-binding acquisition proposal it received on Nov. 26, 2013, from The Men's Wearhouse, Inc. Assisted by outside financial advisors, the board determined the price of roughly $1.54 billion significantly undervalued the company and its near and long-term potential and was not in the best interest of the company's shareholders.

A Dutch arbitration panel has ordered Tiffany & Co. to pay Swatch damages of about $449.5 million plus interest in a breach of contract case dating back to 2011. The dispute stems from Swatch’s claim that Tiffany failed to honor its obligation to develop and sell Swatch watches under the Tiffany name and split the profits.

The amount is 8.8% of the total damages sought by Swatch. Tiffany will also have to pay about $8.8 million in fees, expenses and other arbitration costs. One arbitrator on the three-arbitrator panel did not rule in favor of Swatch.

Columbia, S.C. — Edens Investment Trust has closed a $1.47 billion equity transaction composed of the $718 million sale of a 29% equity stake in the company and a $750 million equity commitment from the company’s institutional investors.

In the sales transaction, a Blackstone-sponsored real estate investment vehicle acquired a $718 million stake in Edens from the State of Michigan Retirement System.

Electrolux plans to expand its North American headquarters, their second expansion at this location in three years, and will be adding 810 new local jobs as a result.

The new jobs are in the areas of research and development, marketing, design, engineering, supply chain, finance, IT and executive management, and will be added by the end of 2017.

Washington, D.C. – U.S. household purchases rose 0.5% in November 2013. According to new figures from the U.S. Department of Commerce, this followed a 0.4% increase in October that was larger than previously reported and is the largest increase since July 2013.