Saturday, April 21, 2018

Bon Ton bankruptcy UPDATE: Yes, folks, the end is nigh for West Towne Mall anchor Boston Store

On a long-awaited spring-like day in April, shoppers thronged West Towne Mall.  During my brief visit, I watched dozens of people stream in and out the Boston Store, which, ironically, exuded a festive atmosphere.

The closing of the Boston Store is not a nail in the coffin, but rather an opportunity to further diversify the mall's offerings, as was just done when Sears ceded more than half of its square footage to Dave and Buster's and Total Wine.  These two new tenants, by the way, have created a parking crunch at the south end of the mall, something I haven't seen in quite a few Christmases.

Photos by Retiring Guy

Going-out-of-business sales at area Boston Stores and other Bon-Ton stores start Friday.  (Wisconisn State Journal, 4/20/2018)
The end of the retailer will leave more than 1 million square feet of retail space empty in Wisconsin, 280,000 of that in Madison. 
Boston Store employs 217 people at its two Madison locations and 74 in Janesville, according to the Wisconsin Department of Workforce Development.

The Boston Store's twin sentinels at West Towne are still for lease.

4/14/2018 update, "Apparently, the end is nigh", starts here.

Reported in Bid by liquidators will start the bidding in Bon-Ton Stores bankruptcy auction.  (Milwaukee Journal Sentinel, 4/13/2018)
A decision in U.S. Bankruptcy Court in Delaware this week dealt a setback to efforts by Bon-Ton executives to sell the company to a buyer [DW Partners, see slide below] that would keep it going and try to turn around its finances. Bon-Ton hasn't been profitable since 2010. 
A judge on Wednesday said Bon-Ton would not be allowed to reimburse $500,000 in due diligence costs by the potential "going concern" buyers — a condition Bon-Ton’s lawyers portrayed as a requirement to get a bid from that investor group.

4/11/2018 Survey Says UPDATE, starts here.

Bon-Ton secures letter of intent from investor group; auction delayed again.  (Milwaukee Business Journal, 4/10/2018 update)

4/10/2016 update, "Get your alpha on:  Bon Ton finds a buyer", starrts here.
Dear DW, In plain English, please.

Report: Buyer found for Boston Stores parent Bon-Ton.  (Wisconsin State Journal, 4/1/2018)


Related reading:
Alpha and Beta: How Do They Relate to Investment Risk?  (Arbor Investment Planner)

No comments: