Exhibit 99.1
THE TJX COMPANIES, INC.
NEWS RELEASE
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PUBLIC INFORMATION: 508-390-2309
CONTACTS:
Steven Wishner Sherry Lang
Vice President Assistant Vice President
Treasurer Investor Relations Director
FOR IMMEDIATE RELEASE
(Monday, October 21, 1996)
THE TJX COMPANIES, INC. ANNOUNCES AGREEMENT TO SELL
CHADWICK'S OF BOSTON
Framingham, MA -- The TJX Companies, Inc. (NYSE: TJX), the world's
largest off-price apparel retailer, today announced that it has entered into a
definitive agreement with Brylane, L.P., the nation's leading catalog retailer
of women's and men's special size apparel, to sell its Chadwick's of Boston
apparel catalog division. Total proceeds from the sale are estimated at $300
million and include cash, a $20 million Convertible Subordinated Note and
Chadwick's consumer credit card receivables. The Company expects to report an
estimated after-tax gain on the sale of the Chadwick's division of $125 million,
or $1.39 per share. The actual amount of proceeds is dependent upon the timing
of the closing of the transaction, which is anticipated to be consummated during
TJX's fourth quarter. The sale is subject to certain conditions, including
receipts of regulatory approvals. Brylane has obtained firm acquisition
financing commitments to fund the purchase.
Bernard Cammarata, President and Chief Executive Officer of The TJX
Companies, Inc. commented, "TJX will benefit from this divestiture in a number
of ways. The sizable cash proceeds from the sale will be used to repay debt,
significantly bolstering our already strong financial position. This will lead
to substantial interest expense savings which will add meaningfully to the
growth rate in earnings per share of our Company's continuing operations. Also,
TJX's shareholders' equity will be dramatically increased by the large after-tax
gain on the sale, which reflects full utilization of TJX's $139 million capital
loss carry-forward.
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770 COCHITUATE ROAD, FRAMINGHAM, MASSACHUSETTS 01701
THE TJX COMPANIES, INC. ANNOUNCES AGREEMENT TO SELL
CHADWICK'S OF BOSTON
Monday, October 21, 1996
Page 2
"Very importantly, the divestiture of Chadwick's allows TJX management
to fully focus on its highly successful, core off-price store businesses. We are
confident that this focus will translate into near and long-term increased value
for our shareholders.
"We are very grateful to the entire Chadwick's organization for their
years of dedicated service. We wish everyone at Chadwick's great success in the
future."
The TJX Companies, Inc. is the largest off-price apparel retailer, with
586 T.J. Maxx stores, 461 Marshalls stores, 62 Winners Apparel Ltd. off-price
family apparel stores in Canada and 23 HomeGoods off-price home fashions stores.
TJX is also developing T.K. Maxx, an off-price apparel concept operating 15
stores in the United Kingdom.
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770 COCHITUATE ROAD, FRAMINGHAM, MASSACHUSETTS 01701