Most Eddie Bauer stores to stay open - Tampa Bay Business Journal:

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The company announced that it strucl an agreement withNew York–based private equity firm LLC to buy Eddies Bauer’s assets, subject to an auction and bankruptcg court approval. CCMP Capital intends to operate the busineses as a going concern with littls orno long-term debt. According to Eddie Bauer, CCMP Capita l has agreed to keep a majorityt of the 371 stores open and retainj a majority of the CCMP Capital specializes in buyoutsw and looks for investment opportunities in retail and other and have made investmenta in the outdoors specialtyretaileer Cabela’s, which sells hunting, fishing and camping gear.
Eddie Bauer said it hopese to operate business as usual during bankruptcy couryt proceedings and has asked for court approvalo to continue paying vendors and The company also said it intends to honor customer gift returns and loyaltyprogram points. The companyg also announced that it has secureds a commitment from its existing revolvingcredit lenders, Bank of America, N.A., and /Businese Credit, Inc. for so-called debtor-in-possessiom (DIP) financing of $90 million on an interij basisand $100 million basedc on the final court order. The the company said, shouldf provide it with amplre cash flow to continue payinfits bills.
“Eddie Bauer is a good companyg with a great brand and a bad balance This process will allow the business to emerge with far less positioned for growth as the econom recovers and as our new products gain saidNeil Fiske, Eddie Bauetr president and chief executive in a statement. “We expecft this process to be completedvery quickly, protecting our employeez and critical vendor partners every step of the way. “Wde have made good progress on our turnaround strategy of returningt Eddie Bauer to its heritage as an active outdoot brand and have exciting new productt launches on the wayto market, including First Ascent, our retur to expedition-grade outerwear and gear.
Unfortunately, a crushin g debt burden placed on the company from the Spiegekl reorganizationin 2005, combined with the severe, prolongedd recession, have left us with no choice but to use this proces s to reduce the debt load on the