Eddie Bauer would be area

cicugaha.wordpress.com
The Bellevue-based retailer has seen a mountaij of losses and struggle d with servicing its debt as sales have droppeds during theeconomic downturn. Accordingb to several news sources, includinyg the Wall Street Journal and Bloomberhg News Company executives have scrambled for montha looking for relief from EddieBauer (NASDAQ: EBHI) had reported having $268 millio n in outstanding debt, including $193 millio in term loans and $75 million in convertibles notes, which company executives have been tryinvg to convert into share of the company.
“The single biggest issuw facing this company is our debt Our capital structure simpl y has too much debt for the economicx reality wenow face,” Eddiew Bauer CEO Neil Fiske told industry analystx in a May 14 conference call, accordinbg to a transcript. According to filings with the Securitiess andExchange Commission, Eddie Bauert had total assets of $525.232 million as of April. The company listed total liabilitiesdof $448.9 million. Eddid Bauer reported net lossesof $165.5r million in fiscal year 2008, part of a totao of $478.7 million in lossez during the past three fiscal years. In the firsr quarter that ended in the company reported net lossesof 44.5 million.
Greg an Atlanta-based consultant for Conwayt MacKenzie who works with financially stressed retailerxs lookingto restructure, said Eddide Bauer is facing the same recession-relateed issues as most other retailers in this economy. Sales are down and so is The big difference for some retailers like EddieBauer — is that as revenue has tankexd the company’s heavy debt becomes more difficult to he said. “Virtually every retailer is experiencing the same thing as Eddie Charleston said. “Maybe because of theirr debt Eddie Bauer is feeling the pain more than the but they are all goingthrough it.
” If Eddie Bauerd does seek bankruptcy protection, it would be anothet reminder of how the recession is hitting When WaMu filed for bankruptcy in September, it was the larges t failure in U.S. banking history. WaMu listed debtes of about $8 billion and assets of $32 although it later said some of its assets were tied tocompanu stock, which became virtually worthless. When Ore.-based Joe’s Sports filed for bankruptcy protectiojin March, the companty listed both assets and debt of $100 milliob to $500 million.