logo
Share SHARE
FONT-SIZE Plus   Neg

WSJ: Coldwater Creek Prepares To File For Bankruptcy

Coldwater Creek Inc. (CWTR) is preparing to file for bankruptcy-court protection within about a week as the specialty retailer of women's apparel, jewelry and accessories grapples with higher debt and declining sales, the Wall Street Journal reported Monday, citing people familiar with the matter.

Sandpoint, Idaho-based Coldwater Creek made attempts to avoid a bankruptcy filing by refinancing debt or selling itself to a private equity firm, but was reportedly unsuccessful in those attempts. The company had said in mid-October 2013 that its board of directors authorized the evaluation of strategic alternatives to enhance value for stockholders.

In December 2013, Coldwater Creek reported a net loss for the third quarter that widened to $23.79 million or $0.78 per share from $20.53 million or $0.67 per share in the year-ago period. Net sales for the quarter declined 18 percent to $154.49 million from $188.12 million in the prior-year period.

Coldwater Creek had total liabilities of $353.10 million as well as cash and cash equivalents of $6.79 million as at November 2, 2013. The company ended the third quarter with 343 premium retail stores, 36 factory stores, and 7 spas.

CWTR closed Monday's trading at $0.16, down $0.51 or 76.12 percent on a volume of 8.55 million shares.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Major League Baseball is talking expansion for the first time in a few decades. Owners stand to make a pretty penny from expansion fees and subsequent television rights. The possibility of a more balanced schedule is also enticing. Strong expansion candidates in the U.S. and Canada are ready... The New York Times is teaming up with Google again to give away Google Cardboard, the virtual reality headsets, but this time only to its "most loyal" digital subscribers. The company said that the digital-only subscribers selected for this distribution were chosen based on the duration of their subscriptions. Oil company Exxon Mobil Corp. on Friday reported a 63 percent fall in profit for the first quarter from last year, while Chevron Corp. reported a loss for the quarter, both on lower revenues. The results were impacted by the fall in crude oil prices and weaker refining margins. However, Exxon Mobil's earnings beat analysts' estimates, while Chevron's loss was wider than their expectations.
comments powered by Disqus
Follow RTT