Women’s interest publisher Meredith Corp. revealed that it has cut 40 positions across the company, with half of the layoffs falling on its New York office and the rest spread across other locations. The layoffs amount to a little over 1% of the company’s total workforce of 3,800. According to the company, the cuts are part of a broader reorganization that will also see some staff assuming new roles. It’s not clear how the staff reductions are distributed between Meredith’s TV and magazine divisions, whose fortunes have diverged over the last few years. In the most recent quarter, TV revenues jumped 31% to $183 million, reflecting a big bump in cyclical political ad spending, while total ad revenues at the magazine division slipped 2% to $135 million. click Read More below for more of the story
The board of Chico’s FAS has unanimously rejected an unsolicited buyout proposal from Sycamore Partners.
The struggling women’s apparel retailer received an offer from Sycamore Partners on May 10 to acquire the retailer for $3.50 per share in cash, about $407.8 million. On Thursday, May 16, Chico’s said that, following a review, it had determined that Sycamore’s proposal substantially undervalues the company and is not in the best interests of its shareholders.
“Chico’s FAS benefits from a strong operating and financial foundation, including a portfolio of differentiated brands, loyal customers and robust omnichannel capabilities, stated David Walker, board chair. “Sycamore’s interest underscores the upside opportunities that these competitive advantages create, but the prices Sycamore has proposed are inadequate and fail to recognize the full value of the company and its future prospects.”