Brooks Brothers sold for $325 million and more business news
Brooks Brothers sold for $325 million
Brooks Brothers will be purchased for $325 million by a retail venture owned by licensing company Authentic Brands Group and mall owner Simon Property Group.
The venture, called Sparc Group LLC, initially offered $305 million for the clothing company last month. It will continue running at least 125 Brooks Brothers retail locations as part of the deal.
The 200-year-old New York-based clothier, which has dressed nearly every U.S. president, filed for Chapter 11 bankruptcy in July.
A hearing to approve the sale is currently scheduled for Friday. The transaction is expected to be completed by the end of the month if all closing conditions are satisfied.
Lyft ridership drops 61%
Lyft on Wednesday posted a loss of $437.1 million for the second quarter, when the coronavirus outbreak meant few people were looking to use its ride-hailing service.
The San Francisco-based company’s revenue slumped to $339.3 million in the April-June quarter, down 61% from the same period last year.
Its number of active riders declined 60% during the quarter as people shied away from traveling in shared vehicles.
“Lyft’s second quarter results reflect an operating environment that was not only challenging for our core ridesharing business, but also for our valued riders and drivers and the communities we serve,” CEO Logan Green said in a statement with the earnings report.
Green, however, pointed to upbeat trends, noting that rides were up 78% in July compared to April.
Lowe’s adds facilities to boost e-commerce
Lowe’s is expanding for faster home delivery nationwide.
Over the next 18 months, the North Carolina- based home improvement company will open 50 delivery terminals, seven distribution centers and four e-commerce fulfillment centers, Lowe’s announced Wednesday.
The goal is to enable faster e-commerce shipping with more same-day and next-day delivery across the country, the company said in a news release said.
“Opening these new facilities will allow our stores to operate more efficiently and improve the customer experience with more predictable deliveries, better in-stock rates and faster fulfillment options,” Don Frieson, Lowe’s executive vice president of supply chain, said in the release.
A West Coast e-commerce fulfillment center in Mira Loma, California, will open in October. The company did not immediately say where the other centers are going up in the next 18 months.
Tribune closes newsroom offices
Tribune Publishing Company, which owns some of the most storied newspapers in American journalism, said Wednesday that it is closing the newsrooms at five of them, including New York’s Daily News and The Capital Gazette in Annapolis, Maryland.
The company said the newspapers — including the Orlando Sentinel in Florida, The Morning Call in Allentown, Pennsylvania, and the Carroll County Times in Maryland — will continue to be published with employees working from home as they have been during the coronavirus pandemic. Employees were told they would be working at home until at least January 2021.
“As we progress through the pandemic and as needs change, we will reconsider our need for physical offices,” a spokesperson for the Chicago-based company, Max Reinsdorf, said via email.
The Daily News, once the newspaper with the largest circulation in the country, has been in financial trouble for years and was sold to The Tribune Publishing Company for $1 in 2017 by New York real estate developer and media mogul Mortimer B. Zuckerman. The new owner cut the newsroom staff in half.
Its offices at 4 New York Plaza in Manhattan will be formally closed as of Wednesday and staff will be given until Oct. 30 to retrieve personal items, a human resources executive at The Daily News said in a letter to employees.