Spiegel gets OK to sell Newport unit
Home & Textiles Today Staff -- Home Textiles Today, May 18, 2004
DOWNERS GROVE, Ill. — Embattled catalog retailer Spiegel Inc., working its way through a painful bankruptcy and a sweeping overhaul of its operations, has received a green light from a U.S. bankruptcy court judge to sell its Newport News women's fashion unit.
Spiegel said it's selling the Newport News unit to Pangea Holdings Ltd., an investment company, for $28.6 million. A month ago, Spiegel put up for sale its profitable Eddie Bauer division.
At the same time, Spiegel reported a narrowed first-quarter loss of $100.5 million, down from a year-before loss of $114.2 million. Sales fell off by 26 percent, to $289.4 million.