Strategy

Limited Stores LLC is planning to file for Chapter 11 bankruptcy protection within weeks, Bloomberg reported, and will most likely liquidate its business.  

Across the United States, cities have been experiencing a development resurgence. Legions of Americans are departing suburbia and returning to urban environments, with millennials leading the migration. Young adults are abandoning the suburban subdivisions they grew up in for denser, more vibrant urban settings. Consequently, once-empty lots, city blocks, and otherwise underutilized properties are being replaced with multi-use buildings that can accommodate new residences, office space, and retail.  

Finish Line missed analyst estimates for third quarter earnings, an issue the company blames on declines in its apparel and accessories categories.   The athletic specialty retailer reported revenue of $371.1 million for the 13 weeks ended Nov. 26, 2016. While this is an increase of 3.0% over the prior year period, it falls short of the consensus estimate of $411.61 million.   

American Apparel’s financial saga is winding down.  

Amazon is continuing to build out its already expansive fulfillment network.    The online giant plans to open two new facilities in Aurora, Ill, generating more than 1,000 additional full-time jobs with benefits to the state. Amazon currently operates warehouses in Edwardsville, Joliet and three facilities in Romeoville. Another depot is currently under construction in Monee.  

Aeropostale, Disney Store, Pacific Sun, and Zumiez joined the growing list of retailers that have stopped using the controversial practice of on-call scheduling for store employees.   

Officials from the city of Troy, Michigan, made the rounds of the New York Deal Making show looking for a partner to help them erect a proposed $350 million town center.  

French children’s clothing company Orchestra-Premaman SA has won its battle to acquire to acquire Destination Maternity Corp.    The deal calls for Orchestra to acquire Destination Maternity for about $7.05 a share, valuing the U.S. retailer at about $100 million according to its share count.  

Walgreens Boots Alliance and Rite Aid have entered into an agreement to sell 865 Rite Aid stores and certain assets related to store operations to Fred’s for $950 million.   The transaction is subject to Federal Trade Commission approval, the approval and completion of the pending acquisition of Rite Aid by Walgreens Boots Alliance, and other customary closing conditions.  

Staples has appointed Faisal Masud to the newly created role of chief technology officer.     Masud had previously served as executive VP of global e-ecommerce since joining the company in May, 2013. Prior to Staples, he served as VP and general manager for Groupon, responsible for managing Groupon Goods’ global strategy and execution. He also held various leadership roles at eBay and Amazon.