Just days after troubled retailer Sears Holdings was put on (yet another) deathwatch after its stock crashed to all time lows while it CDS hit a record high, earlier this week, the short squeeze is back, with the stock surging 20% pre market, after the company announced it is planning steps to improve liquidity and financial flexibility, launching a strategic restructuring program intended to streamline operations and improve its dreadful operating performance, targeting cost cuts of at least $1 billion while repaying over a billion in outstanding pension obligations. The announcement comes as Sears announced another brutal quarter, in which revenue crashed 16% to $6.1 billion and net losses rose to $635 million from $580 million in the period last year according to preliminary results. For the full year, Sears expects revenues to fall 12% from last year to $22.1 billion. The company, controlled by its billionaire chief executive, Edward Lampert who over a decade ago took Kmart out of bankruptcy, announced his new plan to cut costs by at least $1 billion in 2017 by reducing overhead, improving merchandise at its stores and through better inventory management. Company CEO and Chairman said "to build on our positive momentum, today we are initiating a fundamental restructuring of our operations that targets at least $1.0 billion in cost savings on annualized basis, as well as improves our operating performance. To capture these savings, we plan to reduce our corporate overhead, more closely integrate our Sears and Kmart operations and improve our merchandising, supply chain and inventory management. While it reported a 10.3% plunge in comp sales, of which domestics same store sales tumbled 12.3%, and Kmart dropped 8%, Sears said it would cut debt and pension obligations by at least $1.5 billion this year. Sears also said it sold five Sears Full-line stores and two Sears Auto Centers for $72.5 million in January and engaged Eastdil Secured to raise at least $1 billion from the sale of its real estate. The company has also initiated the 150 store closures it previously announced, with the expectation that they will be completed during the first quarter. And the company has partnered with Eastdil Secured to sell at least $1 billion in real estate properties The retailer said that it would use the proceeds from last month's sales of its lawn and garden equipment brand, Craftsman, to Stanley Black & Decker, to reduce its debt and pension obligations by $1.5 billion for fiscal 2017. And so begins the latest in a series of many turnaround efforts, all of which have previously failed to spark a rebound in the melting ice cube. While it remains to be seen if this time will be different, for now the shorts, of which there are many, are scrambling to cover on what may be Sears' last hail mary.
A partnership between the Waringarri Aboriginal arts centre in Kununurra and Wesfarmers, Western Australia, has seen Aboriginal artists from the East Kimberly create a set of 15 aluminium sculptures which have been cast from designs carved on boab nuts. The Boab100 collection saw 15 emerging and senior artists chosen to produce one cast each from the boab nut that they had personally picked. The casts were sent to Brisbane and Shanghai workshops to be produced into white aluminium. Australian public institutions, such as the Art Gallery of Western Australia, the National Library in Canberra, Charles Darwin University in Darwin and the Parliament of Western Australia, have been gifted a set of all 15 designs. Source: ABC News
Австралия/США: Wesfarmers продаст одно из своих подразделений компании Arthur J. Gallagher & Co за $
Австралийский ритейлер Wesfarmers заключил соглашение о продаже одного из своих подразделений компании Arthur J. Gallagher & Co за A$1,01 млрд ($938,74 млн). Стоит отметить, что сделка, следующая за продажей страхового подразделения фирме Insurance Australia Group за A$1,85 млрд, подлежит одобрению регулятивных органов.
The offering size is 19M shares, with underwriter greenshoe of 2.85M shares.The proceeds will be used to fund a portion of the Wesfarmers insurance brokerage purchase.Press releaseAJG no trades premarket Post your comment!
Arthur J. Gallagher (AJG) has agreed to acquire the insurance-brokerage business of Australia's Wesfarmers for A$1.01B ($938M). The units earned A$331.1M ($306M) in revenue in 2013 and include operations in Australia, New Zealand and the U.K. Arthur J. Gallagher views the acquisition as "an important strategic step" to significantly expand its presence in Australasia. The deal adds to Arthur J. Gallagher's agreement last year to buy Giles Group of Companies for £237M ($393M) as it looked to grow in the U.K. (PR) Post your comment!