FDS likely to sell Kaufmann's store to Glimcher Realty Trust
29 Jul '06
2 min read
Federated Department Stores Inc announced it has signed a letter of intent to sell its Kaufmann's store location in Polaris Fashion Place in Columbus, OH, (200,000 square feet, opened in 2001) to Glimcher Realty Trust, the mall's developer.
This is a duplicate location Federated previously announced for divestiture as a result of its acquisition of The May Department Stores Company. With this letter of intent, Federated now has announced buyers for 63 of its 80 duplicate locations.
Federated will continue to operate the Macy's store at Polaris. A clearance sale at the Kaufmann's location is expected to begin in early August, with a store closing and proposed sale transaction planned for the third quarter of 2006.
Federated will be creating a Macy's Polaris team from executives and associates of both the Macy's and Kaufmann's stores in the mall and expects to offer positions to as many employees in good standing as possible. Some employees may be offered positions at other stores in the Columbus area. Any employee not offered an ongoing position will receive severance and outplacement assistance.
Federated said proceeds from this transaction will be included in the $400 million to $500 million after-tax total expected from the sale of duplicate stores nationwide, as previously announced.
A complete list of Federated divestiture stores is posted in the "Federated-May Integration" section of the company's corporate Website - www.fds.com.
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