Monthly sales show uptick in July
Advance estimates of U.S. retail and food services sales were up slightly in July, according to data released Tuesday by the U.S. Census Bureau.
Adjusted for seasonal variation and holiday and trading-day differences, July monthly sales were $403.9 billion, up 0.8% from the previous month, and up 4.1% from July last year.
For building material and garden equipment and supplies dealers (NAICS classification 444), July sales were $23.46 billion, up 1.0% from both June 2012 and July 2011.
In other data:
• Non-store retailers (code 454) increased 11.8% from a year ago;
• Sporting goods, hobby, book and music stores (code 451) increased 10.6% from a year ago; and
• Furniture and home furnishing stores (code 442) showed a 9.9% increase over July 2011.
Sherwin-Williams rejects mini tender offer
The Sherwin-Williams Co. has received notification of an unsolicited mini-tender offer by TRC Capital Corp., which wants to purchase up to 1,000,000 shares, or approximately 0.97%, of Sherwin-Williams’ outstanding common stock. The offer price was 4.39% below the closing price on July 30, 2012, the day before the offer commenced, according to a Sherwin-Williams press release.
The Cleveland-based paint manufacturer does not endorse TRC’s offer and recommends that shareholders do not tender their shares, according to the statement. “TRC’s offer is a mini-tender offer at a price below the current market price for Sherwin-Williams shares and is subject to numerous conditions,” the company said. “Sherwin-Williams strongly recommends that shareholders obtain current market quotes for their shares, review the conditions to the offer, consult with their financial adviser and exercise caution with respect to TRC’s offer.”
The offer expires on Wednesday, Aug. 29, 2012, EST.
“TRC has made similar mini-tender offers for shares of other large publicly-traded companies,” Sherwin-Williams warned investors, urging them to use caution and do their homework to avoid selling their shares at below-market value.
Report: Sears to spin off Hometown, Outlet into separate public company
A report released Monday by the Associated Press said that Sears Holdings Corp. would be spinning off its Hometown and Outlet stores, along with some hardware stores, into a separate, publicly traded company.
Earlier this year, Sears had revealed it would split the companies but had not indicated the new organization would be a separate public entity.
There are approximately 1,238 Hometown, Outlet and hardware stores. Five Hometown stores have been closed, along with eight hardware stores and one Outlet unit.
Sears has not disclosed how much money it expects to raise with the spinoffs, but had projected earlier the deal would raise between $400 million and $500 million. Sears chairman Edward Lampert’s ESL Investments will own a majority stake in the business being spun off.