Fate of Filene

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Last month, Crown Acquisitions agreed to snap up 17 of thediscounrt retailer’s remaining 25 retail locations for $22 milliohn — an agreement that is subjecrt to an auction in a federal court in whicn additional bids for those 17 stores, the eightg remaining locations and other Filene’s assetsz will be solicited. “We have receivesd expressions of interest from several partiesw not only for the store s included in theCrown proposal, but also for severap additional stores,” said Alan Cohen, chief restructuring officer of Filene’s Basement, adding that he can not disclosde the bidders or stores that are beingt considered.
The company has filed noticees with states such as Maryland abouft its plan to possibly start slashing jobs June 15 if no corporatde suitoris found. The notices warn that 39 employees wouldd be cut at its Rockville storwe at 11840 Rockville Pike and 41 would be affected at its Baltimorer Inner harbor store at 600 EPrat St. Both stores were not listesd as ones to be soldto Crown. Burlington, Mass.-based Filene’d Basement sought protection from creditors in May in Delawarebankruptcg court, months after closing several locations, includingf its stores in Tysons Cornedr and Arundel Mills Mall. The auctionb starts at 9 a.m.
in New York, and any sale will be subjecg to court approval at a hearing to be heldin Del. June 10. “For now, it is busineses as usual in all Filene’s Basement locations,” he which explains why a puzzled Filene’s employer in Rockville knew nothing about itspotential closing. The auction was movede last minute to New York at the requesgt ofseveral bidders. Columbus, Ohio-based (NYSE: RVI) sold the iconix chain this year to FB II Acquisition a new entity ownedby , a liquidation and turnaround firm basef in Agoura Hills, Calif.