ABERCROMBIE & FITCH CO. BOARD, AFTER THOROUGH REVIEW, CONCLUDES BEST PATH TO INCREASED STOCKHOLDER VALUE IS AGGRESSIVE PURSUI...
July 10 2017 - 08:15AM
Terminates Discussions Regarding Potential
Transaction
New Albany, Ohio,
July 10, 2017: Abercrombie & Fitch Co. (NYSE: ANF)
announced today that it has terminated discussions regarding a
potential transaction. The company reported on May 10, 2017 that,
after receiving expressions of interest, it had commenced
preliminary discussions with several parties regarding a potential
transaction.
Arthur Martinez, Executive
Chairman of the Board of Abercrombie & Fitch Co. said:
"After a comprehensive review of all relevant factors, with
the assistance of our financial advisor, the A&F Board of
Directors determined that the best path to enhance value for
stockholders is the rigorous execution of our business plan.
We believe in the prospects for
our business and the opportunities for our brands. We are
generating solid comp store sales momentum at Hollister and
continue to refine and implement strategies to position the
Abercrombie brand for revitalized performance. Our strong
management team and dedicated people, the investments we have made
in marketing, omnichannel and other strategies to drive sales,
together with our relentless focus on operational efficiencies, all
contribute to our expectation for improved trends beginning in the
second half of the year, compared to the prior year period."
"We are committed to taking sound,
aggressive action to deliver enhanced performance and long-term
stockholder value," concluded Mr. Martinez.
The company said it does not
intend to comment any further on the above noted discussions.
About Abercrombie & Fitch
Co.
Abercrombie & Fitch Co. (NYSE:
ANF) is a leading, global specialty retailer of apparel and
accessories for Men, Women and Kids through three renowned brands.
The iconic Abercrombie & Fitch brand embodies American casual
luxury. With an updated attitude that reflects the confidence of
today's 20+ consumer, Abercrombie & Fitch remains true to its
125-year heritage of creating expertly crafted products with an
effortless, American style. The Hollister brand epitomizes
the liberating and carefree spirit of the endless California summer
for the teen market. abercrombie kids creates smart, playful
apparel for children ages 3-14, celebrating the wide-eyed wonder of
childhood. The brands share a commitment to offering products of
enduring quality and exceptional comfort that allow consumers
around the world to express their own individuality and style.
The Company operates approximately
900 stores under these brands across North America, Europe, Asia
and the Middle East, as well as the e-commerce sites
www.abercrombie.com and www.hollisterco.com.
Investor Contact:
Brian Logan
Abercrombie & Fitch
(614) 283-6877
Investor_Relations@abercrombie.com |
Media Contact:
Dawn Dover
Kekst
(212) 521-4817
Dawn.dover@kekst.com |
|
|
|
|
SAFE HARBOR STATEMENT UNDER THE
PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995
A&F cautions that any
forward-looking statements (as such term is defined in the Private
Securities Litigation Reform Act of 1995) contained in this Press
Release or made by management or spokespeople of A&F involve
risks and uncertainties and are subject to change based on various
important factors, many of which may be beyond the company's
control. Words such as "estimate," "project," "plan," "believe,"
"expect," "anticipate," "intend," and similar expressions may
identify forward-looking statements. Except as may be required by
applicable law, we undertake no obligation to publicly update or
revise any forward-looking statements. The following factors,
disclosed in "ITEM 1A. RISK FACTORS" of A&F's Annual Report on
Form 10-K for the fiscal year ended January 28, 2017, in some cases
have affected, and in the future could affect, the company's
financial performance and could cause actual results for Fiscal
2017 and beyond to differ materially from those expressed or
implied in any of the forward-looking statements included in this
Press Release or otherwise made by management: changes in global
economic and financial conditions, and the resulting impact on
consumer confidence and consumer spending, as well as other changes
in consumer discretionary spending habits, could have a material
adverse effect on our business, results of operations and
liquidity; our inability to anticipate customer demand and changing
fashion trends and to manage our inventory commensurately could
adversely impact our sales levels and profitability; our market
share may be negatively impacted by increasing competition and
pricing pressures from companies with brands or merchandise
competitive with ours; direct-to- consumer sales channels are a
significant component of our growth strategy, and the failure to
successfully develop our position in these channels could have an
adverse impact on our results of operations; our ability to conduct
business in international markets may be adversely affected by
legal, regulatory, political and economic risks; our inability to
successfully implement our business plans could have a negative
impact on our growth and profitability; our failure to protect our
reputation could have a material adverse effect on our brands; our
business could suffer if our information technology systems are
disrupted or cease to operate effectively; we may be exposed to
risks and costs associated with cyber-attacks, credit card fraud
and identity theft that would cause us to incur unexpected expenses
and reputation loss; fluctuations in foreign currency exchange
rates could adversely impact our financial condition and results of
operations; changes in the cost, availability and quality of raw
materials, labor, transportation and trade relations could cause
manufacturing delays and increase our costs; we depend upon
independent third parties for the manufacture and delivery of all
our merchandise, and a disruption of the manufacture or delivery of
our merchandise could result in lost sales and could increase our
costs; our ability to attract customers to our stores depends, in
part, on the success of the shopping malls or area attractions that
our stores are located in or around; we rely on the experience and
skills of our senior executive officers, the loss of whom could
have a material adverse effect on our business; our reliance on
distribution centers makes us susceptible to disruptions or adverse
conditions affecting our supply chain; our litigation exposure
could have a material adverse effect on our financial condition and
results of operations; our inability or failure to adequately
protect our trademarks could have a negative impact on our brand
image and limit our ability to penetrate new markets; fluctuations
in our tax obligations and effective tax rate may result in
volatility in our operating results; extreme weather conditions and
the seasonal nature of our business may cause net sales to
fluctuate and negatively impact our results of operations; our
facilities, systems and stores, as well as the facilities and
systems of our vendors and manufacturers, are vulnerable to natural
disasters, pandemic disease and other unexpected events, any of
which could result in an interruption to our business and adversely
affect our operating results; the impact of war or acts of
terrorism could have a material adverse effect on our operating
results and financial condition; changes in the regulatory or
compliance landscape could adversely affect our business and
results of operations; our Asset-Based Revolving Credit Agreement
and our Term Loan Agreement include restrictive covenants that
limit our flexibility in operating our business; and, compliance
with changing regulations and standards for accounting, corporate
governance and public disclosure could adversely affect our
business, results of operations and reported financial results.
This
announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Abercrombie & Fitch Co via Globenewswire
Abercrombie and Fitch (NYSE:ANF)
Historical Stock Chart
From Feb 2024 to Mar 2024
Abercrombie and Fitch (NYSE:ANF)
Historical Stock Chart
From Mar 2023 to Mar 2024