ASAP fashion news archive - apparel industry news from before September 2005
This page is part of the ASAP fashion news archive on Apparel Search, which collected apparel, fashion and textile industry news from before September 2005. For current coverage, see the Apparel Search news page and the fashion blog.
From: ASAP
Target Corporation (NYSE: TGT) announced today that it has completed the sale of its Mervyn's retail subsidiary to an investment consortium including Sun Capital Partners, Inc., Cerberus Capital Management, L.P., Lubert-Adler and Klaff Partners, L.P., and completed the sale of Mervyn's credit card receivables to GE Consumer Finance, a unit of General Electric Company. The aggregate consideration of these transactions was approximately $1.65 billion in cash.
Mervyn's is a promotional, middle-market department store with 257 stores in 13 states, primarily in the west and south. In 2003, Mervyn's generated $3.6 billion in revenue and $160 million in pretax segment profit. Mervyn's will continue to operate from its headquarters in Hayward, California.
Following the sale of Mervyn's, Target Corporation will continue to operate Target Stores, a large-store, general-merchandise, discount format currently consisting of 1,272 stores in 47 states, as well as an on-line business called Target.com.
September 2004