Most Eddie Bauer stores to stay open - Pittsburgh Business Times:

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The company announced that it struck an agreement withNew York–basedf private equity firm LLC to buy Eddie Bauer’s assets, subjectr to an auction and bankruptcyt court approval. CCMP Capital intends to operatee the business as a going concern with little orno long-terkm debt. According to Eddie CCMP Capital has agreed to keep a majority of the 371 storexs open and retain a majoritu ofthe employees. CCMP Capital specializes in buyouts and lookx for investment opportunities in retail andother sectors, and have made investments in the outdoorsa specialty retailer Cabela’s, which sells fishing and camping gear.
Eddie Bauer said it hopesw to operate business as usual during bankruptchy court proceedings and has asked for coury approval to continue paying vendorsand workers. The compant also said it intends to honorr customergift cards, returns and loyalty program points. The company also announced that it has securedd a commitment from its existing revolving credit Bankof America, N.A., and /Business Inc. for so-called debtor-in-possessioh (DIP) financing of $90 million on an interim basisand $100 million based on the finapl court order. The move, the company said, shoul d provide it with ample cash flow to continud payingits bills.
“Eddie Bauer is a good compangy with a great brand and a badbalancde sheet. This process will allow the business to emerge with far less positioned for growth as the economy recovers and as our new productagain traction,” said Neil Eddie Bauer president and chief executivse officer, in a “We expect this process to be completeed very quickly, protecting our employees and critical vendor partners every step of the way.
“Wre have made good progress on our turnaroune strategy of returning Eddie Bauer to its heritage as an activew outdoor brand and have exciting new product launches on the way to includingFirst Ascent, our return to expedition-grade outerwear and Unfortunately, a crushing debt burdejn placed on the company from the Spiegel reorganization in 2005, combined with the severe, prolongexd recession, have left us with no choics but to use this process to reduce the debt load on the