Belk confirms it is exploring strategic alternatives, hires Goldman Sachs

New York -- Belk Inc., the largest family owned and operated department store chain in the United States, is exploring strategic alternatives. The news was first reported by Reuters on Thursday, and was confirmed later in the day by the retailer in a statement issued to media outlets.



Citing its strong financial position and successful fourth quarter, Belk also acknowledged the rapidly changing industry and said it had an obligation to consider whether there are alternatives to its current plans that would provide a better return for our stockholders.



“As such, we are performing due diligence to carefully explore all options for our future,” the company stated. “As a part of that process, the company has engaged Goldman Sachs to assist us in identifying and evaluating those options. We expect to conclude our analysis in the next several months.”



Belk, based in Charlotte, North Carolina, was founded in 1888, and is in the third generation of Belk family leadership. It operates 297 stores in 16 Southern states.



For its most recent fiscal year, ended Jan. 31, 2015, the company reported total net sales of $4.1 billion, up 1.8% over the year-ago period. Same-store sales rose 1.5% for the year, and online sales surged 43.3%. Its profits, however, dropped 7.8% to $146 million amid investments in e-commerce and remodeling stores.