Neiman Marcus Sales Down as It Considers Sale of MyTheresa

Neiman Marcus said Tuesday that sales declined in its just completed quarter and it's considering the sale of its European subsidiary MyTheresa.The announcements by the Dallas-based luxury retailer were made in a filing came as it launched an exchange offer for $1.62 billion of unsecured debt on Tuesday.Neiman Marcus said sales are estimated to decline 1.3% to 1.9% in its fiscal third quarter that ended Saturday. The decline follows six consecutive quarters of sales increases. Also, the period's adjusted earnings will be down from a year ago, in the range of $119 million to $129 million compared with $143.1 million a year ago.The debt exchange and a restructured term loan are part of a multi-year transformation plan under CEO Geoffroy van Raemdonck. The company is moving its debt obligations out to 2023 and 2024 as it tries to grow its Neiman Marcus and Bergdorf Goodman brands. The quarterly sales decline is a set back considering the company opened a new store in New York City's Hudson Yards in March. In the filing, the company also disclosed that MyTheresa, an asset some value at $1 billion, had sales of $311.5 million and earnings before interest, taxes and other items of $17.4 million, in the nine months ended in April.Twitter: @MariaHalkias  Continue reading...

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