Leonard Green & Partners completes purchase of Container Store
The sale of specialty retailer Container Store to private investment firm Leonard Green & Partners has been completed. Terms of the deal were not disclosed.
According to Container Store, the company’s retail store general managers and about 170 employees in all were extended equity opportunities. Leonard Green & Partners has major investments in several retailers, including Petco and David’s Bridal.
As part of the deal, Container Store will take on a new six-member board of directors, consisting of company CEO Kip Tindell, president Melissa Reiff and chief merchandising officer Sharon Tindell. From Leonard Green & Partners, board members will be vp Jonathan Sokoloff, vp Kristofer Galashan and partner Timothy Flynn.
Container Store has 39 locations in the United States, with future stores planned in Denver and Cherry Hill, N.J.
Record second-quarter earnings at Lowe’s
Lowe’s, the world’s second largest home channel retailer, reported second-quarter earnings of $1.02 billion, up 9 percent from $935 million last year — a record, according to the company.
Sales for the quarter were up 5.8 percent to $14.2 billion from $13.4 billion last year. Comparable-store sales were down 2.6 percent.
The comp-store sales decline was in line with guidance, said chairman and CEO Robert Niblock, “ despite the external pressures impacting our results.”
“Macro economic factors, including the many aspects of the housing market, continue to result in regionally disparate performance,” Niblock said. “Markets in California and Florida, generally considered most pressured by housing, continue to perform significantly worse than average.”
Comparatively, the company’s markets in the Northeast, while still producing negative comparable-store sales, showed “encouraging signs of improvement” during the quarter, he said.
Lowe’s opened 26 new stores in the United States during the quarter, bringing the company’s total store count as of Aug. 3 to 1,424 stores in 49 states. The company expects to open 40 new stores in the third quarter. Sales are anticipated to increase between 7 percent and 8 percent, and comp-store sales are expected to remain flat next quarter, according to Lowe’s.
Tractor Supply names new board member
Nashville, Tenn.-based farm and fleet retailer Tractor Supply has named Louisiana-Pacific CEO Robert Frost to the company’s board of directors.
“During his career, Rick has developed expertise in procurement, logistics and supply chain management. As a CEO, he brings additional executive governance perspective to Tractor Supply Co.,” said Jim Wright, president and CEO of Tractor Supply.
Frost serves on the boards of several nonprofit organizations. He is a board member of the American Forest & Paper Association, the Forest Products Association of Canada and the Temperate Forest Foundation. He also serves as vice chairman of the National Air and Stream Council.