Apparel company Oxford Industries Inc. says it will pursue the sale of its
Ben Sherman business, which has had a weaker performance than the company's
Tommy Bahama and Lilly Pulitzer brands in recent quarters.
Reported on March 26, 2015: Ben Sherman In the fourth quarter of fiscal 2014,
net sales were $25.4 million compared to $20.1 million in the fourth quarter of
fiscal 2013 with increases in all channels of distribution. Operating results
improved, with a $0.9 million operating loss in the fourth quarter of fiscal
2014 compared to an operating loss of $2.6 million in the fourth quarter of
fiscal 2013. This improvement was primarily due to higher net sales partially
offset by the impact of higher markdowns on off-season inventory.
In fiscal 2014, net sales for Ben Sherman increased to $77.5 million compared to
$67.2 million in fiscal 2013 with increases in all channels of distribution and
a $2.2 million favorable impact of foreign currency translation. The loss from
operations decreased to $10.8 million in fiscal 2014 from a loss of $13.1
million in fiscal 2013 primarily due to higher net sales despite a $0.6 million
negative impact of foreign currency translation.
The Company on March 26, 2015 announced that its Board of Directors has
authorized the Company's management to pursue a sale of the Ben Sherman
business. The Company has engaged Financo, Ltd. as its financial advisor
to assist the Company in the process.
The Company expects to complete the sale of Ben Sherman during fiscal 2015.
You can read the full news release at
http://investor.oxfordinc.com/releasedetail.cfm?ReleaseID=903593
Historical Reference:
In mid-2004, Oxford Industries Inc. of Atlanta purchased the Ben Sherman
brand for 80 million British pounds (then $146 million) from 3i and Irish
venture capital company Enterprise Equity.
The Ben Sherman womenswear and childrenswear collections that existed in the
2000s were discontinued by Oxford Industries in 2010.
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