Is Younkers Going to Open Up Again?
 | |
| Type | Public (1991–2017) (Skillful Market: BONTQ) Private (2018–present) |
|---|---|
| Industry | Retail |
| Founded |
|
| Founders | Samuel Grumbacher Max Grumbacher |
| Fate | Chapter 7 defalcation Liquidation (original) Ongoing business concern (revival) |
| Headquarters | New York, New York |
| Number of locations | 0; online operations merely |
| Cardinal people | Jordan Voloshin (President, 2018–2021) Deepak Ramani (President, 2021–present) |
| Products | Clothing, footwear, bedding, furniture, jewelry, beauty products, and housewares |
| Revenue |  United states of america$ ii.674 billion (2016)[1] |
| Operating income | U.s.a.$ 2.57 million (2016) |
| Net income | US$ −63.42 million (2016) |
| Full assets | US$ i.505 billion (2016) |
| Total equity | Usa$ −22.78 million (2016) |
| Possessor | CSC Generation (2018–2021) BrandX.com (2021–present) |
| Number of employees | 23,300 (2016)[2] |
| Subsidiaries | Bergner's Boston Store Carson's Elderberry-Beerman Herberger'southward Younkers |
| Website | https://world wide web.bonton.com |
Bon-Ton Holdings Inc. is an American online retailer and former department store chain founded in 1898. After rapid expansion in the 1990s and early 2000s, the original visitor had financial troubles, ultimately filing for bankruptcy in 2018 before existence sold and liquidated. In September 2018, CSC Generation began operating every bit an online retailer headquartered in Merrillville, Indiana, with plans to open brick and mortar locations. In early 2021, CSC Generation sold all the acquired assets of Bon-Ton to New York-based BrandX.com, Inc in a individual auction and included other brands such as Bergner's, Boston Store, Carson's, Elder-Beerman, Herberger'southward, and Younkers.
History [edit]
Beginnings [edit]
The Bon-Ton was started in 1898, when Max Grumbacher and his father, Samuel, opened S. Grumbacher & Son, a one-room millinery and dry goods store on Market Street in York, Pennsylvania.
Every bit reported in the Carlisle Evening Sentinel on October 31, 1902, the shop chain had two boosted locations under the name "Bon-Ton Millinery" in Trenton, New Jersey, as well equally in the following Pennsylvania locations: Carlisle, Lancaster, Lebanon, Altoona, and Due east Liverpool. The name "Bon-Ton" was drawn from a British term connoting the "elite" or "loftier club".
Through World War I and the Roaring Twenties, the Grumbacher'south store chain grew bigger and, in 1929, the visitor was incorporated every bit Southward. Grumbacher & Son, Inc. In 1931, Max's son, Max Samuel (M.Due south.), joined the company. When Max the elder died in 1933, his widow, Daisy, and their two sons, M.S. and Richard, continued the business organization, forming a partnership in 1936.
The Bon-Ton was a popular store destination on the classic radio show Fibber McGee and Molly, which aired from 1935 to 1959.
Following World State of war II, the Grumbacher family decided to aggrandize operations even farther. In 1946, an additional Bon-Ton was opened, in Hanover, Pennsylvania. 2 years later, the company moved outside Pennsylvania, acquiring Eyerly's in Hagerstown, Maryland, and, in 1957, purchasing McMeen's in Lewistown, Pennsylvania. These early moves set The Bon-Ton's policy of growing into adjacent areas by opening new stores and acquiring existing businesses.
Expansion [edit]
During the next three decades, The Bon-Ton Stores connected to expand. In 1961, M.Due south.'s son, Thousand. Thomas "Tim", entered the business organization, representing the fourth generation of Grumbachers. During the 1960s, the visitor opened new Eyerly'due south and Bon-Ton stores in several Pennsylvania communities and one in West Virginia. In 1969, retired the McMeen'southward name. During the 1970s, as the popularity of shopping centers began to grow, The Bon-Ton opened 11 new stores in Pennsylvania and West Virginia.
The 1980s formed a period of rapid consolidation in the retail section store industry as major chains bought their competitors. The Bon-Ton Stores began the decade by opening more stores, establishing a new division, Maxwell'southward, and acquiring L Southward Good (including its Fowler'south department stores). When Tim Grumbacher was made CEO in 1985, the company operated 18 stores in iv states. Two years later, the company made a major move, ownership the 11-store Pomeroy'southward chain from Allied Department Stores. That purchase fabricated it possible for the company to move into seven new markets in Pennsylvania. In 1991, The Bon-Ton caused J.W. Rhodes in Ithaca, New York. The Bon-Ton entered the Lancaster, Pennsylvania, market in 1992 with the acquisition of two Watt & Shand locations in downtown Lancaster and Park City Center. The company connected to expand its New York presence in 1993 with a store in the Wilton Mall in Saratoga Springs in the onetime Addis & Dey's space. In the late 1980s, the company also acquired a York, Pennsylvania family-operated section store, Mailman's from Stanley Mailman, which converted to a Bon-Ton location.
In July 1994, The Bon-Ton purchased the 127-year-erstwhile Adam, Meldrum, and Anderson Company concatenation based in Buffalo, New York, for $42.half-dozen million converting all locations to The Bon Ton. Around the same time, The Bon-Ton also purchased Chappell's of Syracuse, New York, and Hess's of Allentown, Pennsylvania. The Bon-Ton initially retained and operated Hess's flagship location until 1996, when information technology closed after nearly 100 years of continuous operation. The site was eventually demolished. Its Allentown shop, Hess's former south Allentown location, was the ballast of the South Mall. In 1995, The Bon-Ton entered the Rochester, New York market in three former McCurdy's locations, equally well as in a sometime McCurdy'due south infinite (originally Iszard's) in Elmira. In the post-obit spring, the company opened a fourth Rochester location in a former Sibley's/Kaufmann'southward location. In March 1995, The Bon-Ton closed the landmark downtown Lancaster shop. Later on that year, they also closed the downtown AM&A's location. 1998's expansion included a new store in Westfield, Massachusetts, making it The Bon-Ton Stores' first entry into the New England area.
Operations in 2000s [edit]
In Oct 2003, The Bon-Ton expanded its reach into Ohio and the lower Midwest with the acquisition of the 69-shop Elderberry-Beerman shop concatenation. Post-obit an attempt to convert to a privately held company, Elder-Beerman was offered more cash for its outstanding stock equally part of the buyout. The chain operated equally a separate banner until the company's demise in 2018.
On November 25, 2003, Bon-Ton reported a net loss in the third quarter of $one.seven million, or $0.eleven per share, including an nugget damage charge of $0.10 per share.[3]
The Bon-Ton Stores chain doubled in size in November 2005 with the $ane.1 billion purchase of the 142 stores of Saks' Northern Department Store Group, headquartered in downtown Milwaukee, Wisconsin. Corporate headquarters remained in York, Pennsylvania, but merchandising headquarters were relocated to Milwaukee. As with the Elder-Beerman acquisition, no store names were changed in the transaction. The newly acquired store group included Carson Pirie Scott (subsequently branded as Carson'due south), Bergner's, Boston Shop, Herberger's, and Younkers.[4]
In September 2006, The Bon-Ton purchased four one-time Parisian stores (plus one nether construction) from Belk (which had simply purchased the chain); the stores were located in Michigan, Indiana, and Ohio (exterior Belk's traditional operating territory). The stores in Indiana and Ohio were immediately rebranded to Carson Pirie Scott[5] and Elderberry-Beerman, respectively. The three Michigan stores maintained the Parisian name until 2013, when they were rebranded to Carson'south.[six]
Concluding years [edit]
The Bon-Ton'south terminal years were marked with a string of fiscal losses and executive turnover.
From 2011 through 2017, the visitor did not mail an annual profit.[seven] From 2011 through the company'southward defalcation, information technology had four CEOs[8] and three CFOs. In December 2013, Mike Nemoir, senior vice-president, appear he would retire after four decades in the fashion industry at Bon-Ton and its predecessor companies on March 28, 2014.[9] In May 2017, Tim Grumbacher retired afterward l years on the board of directors, and more than 25 as its chairman. He had besides been Bon-Ton's CEO from 1985 to 1995 and held other senior management positions. Grumbacher'southward wife and beau board fellow member, Debra Simon, was elected to succeed him.[ten]
In fall 2016, Bon-Ton launched in-store and online "Close to Abode" shops in 45 of its stores, selling locally sourced and locally themed products. In February 2017, the chain announced that it would expand these shops to at least 100 stores in 25 states and would partner with local designers, artisans and entrepreneurs in each market interested in selling their products in these shops.[xi]
The company's financial state of affairs worsened rapidly in 2017, with same-store sales falling over 6% in both the second[12] and third[13] quarters. On May 5, 2017, Bon-Ton Stores was informed its common stock was no longer in compliance with NASDAQ listing requirements, and the stock was de-listed from the exchange on December 6 and became listed in OTC Pinkish.[14] In November 2017, the company announced a shop closure program, stating 40 to 45 stores would close after the holiday season.[thirteen]
Bankruptcy and liquidation [edit]
During the get-go quarter of 2018, The Bon-Ton appear information technology would be closing 42 stores in 14 states, in addition to five stores previously announced.[15] Nonetheless, information technology was not plenty to salvage the visitor from its large debt.[16]
On Dec 18, 2017, Bon-Ton Stores revealed it had failed to pay $14 million in interest that had been due Dec xv. The company entered into a grace menses with its lenders. Assay from Standard & Poor'due south downgraded the visitor into selective default, and predicted a defalcation or out-of-court restructuring at the conclusion of the grace period.[xiv] [17]
In February 2018, The Bon-Ton Stores Inc. filed for Chapter xi bankruptcy protection. The company had non made an almanac turn a profit since 2010.[18]
On Apr 9, 2018, it was announced that Washington Prime Group and Namdar Realty Group would bid to salvage Bon-Ton from bankruptcy. On April 17, 2018, withal, the plans brutal through because the court ruled the company would non be able to pay a $500,000 "work fee".[nineteen]
On April 17, 2018, The Bon-Ton announced it would liquidate all 267 stores after The Great American Group LLC and Tiger Capitol Grouping LLC bid $775.five million for the retailer and after converting its Chapter 11 defalcation to Chapter 7. They acquired the inventory and other assets of the company and sold it all off.[twenty] On August 30, Great America Group said all Pennsylvania locations were officially closed, and buildings would be vacated by the next day.[21]
Revival and relaunch [edit]
On August 31, 2018, The Bon-Ton Stores, Inc.-endemic retail websites were updated with "Stay Tuned" messages, indicating that the company's respective brands would come back in some form; the liquidator stated that the company'southward intellectual holding was being sold.[22] [23] On September half dozen, 2018, information technology was reported that the purchaser was Merrillville, Indiana-based CSC Generation, a holding company backed by Chinese and American venture capital firms, which owns the membership buying service DirectBuy. CSC Generation agreed to pay $900,000 for Bon-Ton's database of 24.v one thousand thousand unique customer records and five.6 1000000 email addresses, as well as its trademarks and websites. While the retailer would go a smaller eastward-commerce business focused on its website, in that location were plans to reopen some concrete stores in several states.[24] However, merely one such store was re-opened (in Evergreen Park, Illinois), and it closed in 2020.[25] [26] Also, beauty products company 50'Oréal USA successfully bid $312,900 for data on Bon-Ton'south cosmetics and fragrance customers.[27] [28] [29] On September x, 2018, the federal defalcation estimate approved the sale to CSC Generation; on September 14, the new owner relaunched websites for all of its department shop brands. In addition to apparel and home goods, the websites also sold televisions and major kitchen appliances.[30]
Subsequently, in early 2021, CSC Generation sold all the acquired avails of Bon-Ton to New York-based BrandX.com, Inc in a private sale.[31] BrandX will relaunch the Bonton.com website in Spring 2022. The focus will be to bring back its fashion and home goods.[ citation needed ]
References [edit]
- ^ "Revenue, EPS, & Dividend - The Bon-Ton Stores Inc. (BONT) - NASDAQ.com". NASDAQ.com . Retrieved January 28, 2018.
- ^ "The Bon-Ton Stores Inc. (BONT) Company Profile".
- ^ "The Bon-Ton Stores, Inc. Announces Third Quarter Results" (Press release). Bon-Ton.
- ^ "Saks sells grouping of 142 stores to Bon-Ton for $1.1 billion in cash". Archived from the original on September 21, 2013.
- ^ "Downtown Parisian to get Carson Pirie Scott store". WTHR . Dispatch Broadcast Grouping. January nine, 2007. Retrieved April 4, 2018.
- ^ "What e'er happened to the Parisian Department Stores?". TripSavvy . Retrieved April four, 2018.
- ^ "Bon-Ton to liquidate". Milwaukee Business News. April 30, 2018. Retrieved July 13, 2018.
- ^ "Embattled Bon-Ton Stores replaces CEO -- again". Milwaukee Journal Lookout man. May 9, 2017. Retrieved July 13, 2018.
- ^ Palmieri, Jean E. (Dec xix, 2013). "Bon-Ton'south Mike Nemoir to Retire". Women'southward Article of clothing Daily. Penske Media Corporation. Retrieved December xix, 2013.
- ^ Lawder, Melanie (May 8, 2017). "Bon-Ton chairman Tim Grumbacher retires, married woman succeeds him". Milwaukee Business Journal. American Urban center Concern Journals. Retrieved April 19, 2018.
- ^ "The Bon-Ton Stores, Inc. Expands Successful "Shut to Home" Initiative With Launch Of New Online Sourcing Fair" (Press release). Bon-Ton. Feb 7, 2017. Retrieved June 28, 2018.
- ^ "Bon-Ton aforementioned-store sales decline 6.i%; loss narrows". Milwaukee Business Journal. August 8, 2017. Retrieved July 13, 2018.
- ^ a b "Bon-Ton to Close At Least 40 Stores". Chain Store Age. November xvi, 2017. Retrieved July 13, 2018.
- ^ a b "Credit Analytics Case Study: The Bon-Ton Stores Inc" (PDF). S&P Global Insight. Retrieved August 22, 2018.
- ^ "The Bon-Ton Stores, Inc. Announces Locations of Store Closures every bit Function of Store Rationalization Program". The Bon-Ton. Retrieved April 4, 2018.
- ^ "These major retailers are closing 1,000 stores in 2018". Clark.com. January eleven, 2018. Retrieved January 28, 2018.
- ^ Unglesbee, Ben (December twenty, 2017). "Bon-Ton misses $14M interest payment, restructuring could follow". Retail Dive . Retrieved August 22, 2018.
- ^ Rizzo, Lillian. "Retailer Bon-Ton files for Chapter eleven bankruptcy". MarketWatch. News Corp. Retrieved February 5, 2018.
- ^ Lauren Thomas (April 17, 2018). "A Bon-Ton liquidation jeopardizes U.s.a. mall owners already in trouble". CNBC. NBCUniversal. Retrieved April eighteen, 2018.
- ^ "Liquidators to wind down Us section store chain Bon-Ton". CNBC. NBCUniversal. Retrieved April 18, 2018.
- ^ Ruland, Sam (August 30, 2018). "Say good day to Bon-Ton: Pa. stores are now airtight". York Daily Record . Retrieved August xxx, 2018.
- ^ Lesk, Sari (August 31, 2018). "Boston Store name, other Bon-Ton brands, could return under different possessor". Milwaukee Business Journal . Retrieved September 8, 2018.
- ^ "Online message hints Bon-Ton stores, including Younkers, may come back". WGBA. September 1, 2018. Retrieved September 6, 2018.
- ^ "Buyer of Herberger's and other Bon-Ton brands lays out revival programme". Star Tribune . Retrieved October 1, 2018.
- ^ Zumbach, Lauren (October 29, 2018). "Carson's reopening Evergreen Park shop on Black Friday". Chicago Tribune . Retrieved January 16, 2019.
- ^ Pete, Joseph South. (October 10, 2020). "Merrillville-based Carson'south closed its but brick-and-mortar store". Times of Northwest Indiana.
- ^ Pilarski, Karen; Daykin, Tom; Jones, Charisse (Baronial 31, 2018). "Broke Bon-Ton Stores Inc. may be revived and reinvented". Milwaukee Journal Watch. Gannett Company. Retrieved September viii, 2018.
- ^ Jones, Charisse; Gores, Paul (September five, 2018). "Indiana visitor will attempt to revive Bon-Ton Stores". Milwaukee Journal Lookout. Gannett Company. Retrieved September 8, 2018.
- ^ Gores, Paul (September 6, 2018). "Bon-Ton buyer paying $900,000 for retailer'south name, websites and data, court record shows". Milwaukee Journal Sentinel. Gannett Company. Retrieved September 8, 2018.
- ^ Gores, Paul (September xiv, 2018). "Bon-Ton launches new websites, is back in business". Milwaukee Journal Sentinel. Gannett Company. Retrieved September 15, 2018.
- ^ "Bon-Ton Closed Deal". Hilco Streambank . Retrieved January 5, 2022.
External links [edit]
- Official website
Source: https://en.wikipedia.org/wiki/The_Bon-Ton
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