Disney Stores back to Disney??

[JimmyMartin]

I got THE call today since I said I would go back to work if Disney took it back. Anyone else hearing anything? Children's Place not doing so good. Heard they closed 13 Disney stores in the last 2 weeks.

 

[TheDisneyGirl02]

Well, the managers at my store called everyone today and told them what was going on. It scares me more than anything that Disney won't want us back and that we'll close. I know we risk closing and that really upsets me. I don't want to lose my Disney family.

My one friend who I work with at the store is going to talk to the district manager tomorrow...hopefully he will find more out.

 

[*NikkiBell*]

Has it been confirmed then? Disney is getting the stores back from Children's Place?

 

[TheDisneyGirl02]

Has it been confirmed then? Disney is getting the stores back from Children's Place?

Nothing has been confirmed yet, but from what I have been told, when it happens it will take place in a matter of weeks, not months.

 

[daber]

Maybe they can also bring back Paul Pressler to run it LOL (as Foghorn Leghorn said, "It's a joke son" I say I say a joke)

 

[mking624]

I found out yesterday when I went in to work. There are three stores in our state, only one in Louisville (my store), which puts us in a good position because we're a profitable store and we're the only store in the largest city in Kentucky. Of course that doesn't guarantee anything, but it's better than nothing. Our DM said today these talks with Disney have been going on since December and TCP expects a decision to be made within the next couple of weeks. She doesn't expect to definitely know which 1/3rd of the stores will be closing until the next few months...but my ASM told me that if Disney has been considering this over the last few months, they probably already have an idea of which stores they want and which will close.

Honestly, this move doesn't surprise me. I had a feeling this would happen when Disney called out TCP on their breach of contract...there were rumors od TDS going back to Disney back then. And honestly, TCP has no one to blame but themselves. Even though some stores will be closing, I'm glad for this move...we hated being under TCP.

 

[TheDisneyGirl02]

I found out yesterday when I went in to work. There are three stores in our state, only one in Louisville (my store), which puts us in a good position because we're a profitable store and we're the only store in the largest city in Kentucky. Of course that doesn't guarantee anything, but it's better than nothing. Our DM said today these talks with Disney have been going on since December and TCP expects a decision to be made within the next couple of weeks. She doesn't expect to definitely know which 1/3rd of the stores will be closing until the next few months...but my ASM told me that if Disney has been considering this over the last few months, they probably already have an idea of which stores they want and which will close.

Honestly, this move doesn't surprise me. I had a feeling this would happen when Disney called out TCP on their breach of contract...there were rumors od TDS going back to Disney back then. And honestly, TCP has no one to blame but themselves. Even though some stores will be closing, I'm glad for this move...we hated being under TCP.

I'm not surprised either. I've heard rumors for the last couple of months that Disney wanted us back. Of course they were only rumors until yesterday.

Although I haven't worked since the news broke, I've called my store a couple of times. Our DM was in today and she said that she wasn't worried because we are a very profitable store (one Black Friday YEARS ago, we were number 2 in the Company behind the 5th Ave. NYC store), so I'm hoping she's right. The next couple of weeks have been hard.

Were you told that we weren't getting raises this year? I found that out 2 weeks ago...now it sort of makes sense. It's very interesting.

I have a feeling that they already have an idea of which stores are going to be closing, but it doesn't mean that I'm not going to do my darnest to make sure that my store makes as much money as we can in the next couple of weeks!

 

[JulianneCP]

Little worried about my store Because there is another store 10 miles down the road from us Our mall is smaller but I live in the fastest growing county in the country We do very well but so does the other store Cross over the Potomac and there is another DS about 20 miles away hmmmm

 

[DisneyDeeva]

BREAKING NEWS!!

This just out...

***************
Disney is taking over on May 1st, 2008. On Monday the Disney Stores
that are closing will be announced.

Here is the latest news:

*Hoop Holdings, LLC and Its Subsidiaries D/B/A Disney Store North
America Pursuing Transfer of Substantial Portion of Disney Store Business to
The Walt Disney Company Under Chapter 11 Case

Chapter 11 Filing Does Not Apply to Parent Company, The Children's
Place Retail Stores, Inc.*
SECAUCUS, N.J., March 26, 2008 (PRIME NEWSWIRE) -- The Children's Place
Retail Stores, Inc. (NasdaqLCE), today provided an update on its
plans to exit the Disney Store North America ("DSNA") business in order to
focus on its core namesake brand. The Company conducts the DSNA
business through its subsidiary Hoop Holdings, LLC and its subsidiaries
("Hoop") under a license agreement with The Walt Disney Company.
As previously announced on March 20, 2008, The Children's Place Retail
Stores, Inc. ("the Company") decided to exit the DSNA business as part
of the Company's review of strategic alternatives. As part of the
review, the current management team determined that the license agreement,
originated in 2004, requires substantial investments that are not
expected to deliver economic returns. The Company also took into account the
losses incurred by DSNA's operations, DSNA's current earnings prospects
as a licensee, and the restrictions imposed by the license agreement
on the sale of the business to a party other than The Walt Disney
Company. It was therefore concluded that the Company will be in a better
position to maximize value by focusing on its namesake Children's Place
brand. Importantly, this action is only one component of a broader
strategy to maximize shareholder value. As announced last week, the management
team is undertaking a number of initiatives to reduce expenses, strea
mline operations, and lower inventories and capital expenditures.
Also, as previously announced, the Company and Hoop have been engaged
in advanced negotiations concerning the transfer of a substantial
portion of the DSNA business to The Walt Disney Company. In connection with
these negotiations, Hoop's Board of Directors has determined that with
limited strategic and financial options available under the license
agreement, Hoop's only alternative was to file bankruptcy proceedings.
In a separate press release today, Hoop announced that it commenced a
Chapter 11 case for the reasons described above. It also intends to
pursue the transfer of a substantial portion of the DSNA business to an
affiliate of The Walt Disney Company in order to maximize proceeds
available to its stakeholders. By filing such a case, Hoop also expects to
complete an orderly wind-down of the rest of its affairs. The transaction
under negotiation is subject to the satisfaction of certain conditions,
including approval of the U.S. Bankruptcy Court and is targeted for
completion by April 30, 2008. In the event that the transaction as agreed
to by the parties is approved by the Court, the Company would be
released from any liabilities and all claims that have been or might be
asserted by The Walt Disney Company. The Company continues to expect the
pre-tax cash costs to exit the DSNA business to be within the previously
stated range of $50 million to $100 million, payable over a period of
time.
Neither Hoop's parent company, The Children's Place Retail Stores,
Inc., nor any of its other subsidiaries, filed for bankruptcy.
Chuck Crovitz, Interim Chief Executive Officer of The Children's Place
Retail Stores, Inc., stated, "This exit strategy is consistent with the
corporate actions and strategic priorities we outlined last week. This
will enable the Company to transition away from the Disney Store
business in an orderly and expeditious manner so that we can concentrate
exclusively on The Children's Place, our core brand and business. We have
the utmost respect for the Disney Store brand, however, the cost of
running the Disney Store was no longer an acceptable use of Company's
resources. We were left with no other choice but to find a reasonable way
to exit the operations within the confines of the existing license
agreement."
"We believe this is the right decision for The Children's Place and its
shareholders as we move forward with our plans to strengthen
operations, a process which is well underway. We are pleased with recent sales
trends in the core business and continue to believe that The Children's
Place brand is strong and well-positioned for the future."
As previously disclosed, the Company has been conducting an ongoing
review of strategic and financial alternatives to accelerate improvement
of The Children's Place business and deliver enhanced shareholder value.
The management team has outlined a number of specific initiatives
including reducing expenses and streamlining operations and is also seeking
additional funding to strengthen its capital position. There can be no
assurance that the Company will be able to obtain such funding. As the
Company's review is ongoing, management will continue to provide
updates and report on progress throughout 2008.
The Children's Place Retail Stores, Inc. will host a conference call to
discuss this announcement tomorrow morning at 9 a.m. Eastern Time.
Interested parties are invited to listen to the call by dialing
800-895-0198 and providing the Conference ID, PLCE. The call will also be webcast
live and can be accessed via the Company's web site,
The Children's Place. A replay of the call will be available approximately one hour
after the conclusion of the call, until midnight on April 2, 2008. To
access the replay, please dial 800-688-9445, or you may listen to the
audio archive on the Company's website, The Children's Place.
***************