FINANCE

Tools and storage giant Black & Decker is reportedly among the suitors interested in purchasing Sears’ Craftsman line of tools, Bloomberg reported.   Sears announced plans in May that it would consider options for its Craftsman, Kenmore and DieHard brands.   

​Bass Pro Shops is entering into a 10-year agreement with Capital One, a move that will make the card provider the exclusive issuing partner of co-branded credit cards to Cabela's customers.

Bass Pro Shops has agreed to acquire Cabela’s in a deal that will allow the privately held Bass Pro to nearly double its store count.    Bass Pro plans to purchase Cabela’s for about $65.50 a share in cash, which represents a 19% premium over Friday’s closing price. The agreement will create an outdoor retail powerhouse that specializes in fishing, hunting and boating merchandise. Both companies are known for their elaborate, wilderness-themed store interiors.   

Don’t believe the rumors. Kmart is not going out of business.   That’s according to Eddie Lampert, the beleaguered  CEO of Kmart parent company Sears Holdings Corp.  

In its new study of retail bankruptcies, Fitch Ratings identified seven retailers as being “at risk” for filing bankruptcy in the next year to 24 months.  

Costco Wholesale Corp. reported a higher-than-expected profit for the fourth quarter.     In related news, shoppers opened 730,000 new credit card accounts since the Visa cards went live in June, Costco executives said on a conference call with analysts. (In June, Costco ended its longstanding relationship with American Express and switched to Visa.)    Net income rose to $779 million, or $1.77 per share, in the fourth quarter ended Aug. 28, from $767 million, or $1.73 per share, a year earlier.

In addition to posting its earnings, Pier 1 announced a plan to protect the company from potential takeover bids.    On Tuesday, the home decor chain announced a “Rights Protection Agreement,” which will protect itself from any single shareholder seeking to acquire a 10% stake or more, as summarized in an article in MarketWatch.  

Despite strong digital gains, Pier 1 is feeling the effect of soft store sales during the summer.   Net sales for the second quarter for fiscal 2017, ended Aug. 27, 2016, decreased 6.7% to $405.8 million, compared to $435.0 million for the same period last year. Comparable store sales for the quarter decreased 4.3%.   Gross profit also fell during the second quarter, hitting $145.0 million, compared to $154.6 million in the second quarter of fiscal 2016.