SANDPOINT, Idaho, Oct. 14, 2013 (GLOBE NEWSWIRE) -- Coldwater Creek Inc. (Nasdaq:CWTR) today announced that its Board of Directors has authorized the evaluation of strategic alternatives to enhance value for stockholders. The Executive Committee of the Board will lead this process and intends to consider a broad range of alternatives, including, but not limited to, partnerships, joint ventures or a sale or merger of the Company. Perella Weinberg Partners is serving as exclusive independent financial advisor to assist the Board of Directors in the evaluation of possible strategic alternatives.
There can be no assurance that the exploration of strategic alternatives will result in a transaction. The Company has not set a timetable for completion of this process and does not intend to disclose further developments with respect to this process unless and until its Board of Directors approves a specific transaction or otherwise concludes the review of strategic alternatives.
Business and Guidance UpdateThe Company noted that the negative comparable retail sales trend identified in the second quarter has accelerated. Despite the benefits from its ongoing cost cutting initiatives and real estate optimization activities, the Company expects third quarter results to be below its previous guidance. In addition, and concurrent with the announcement that it will evaluate strategic alternatives, the Company stated it would suspend its practice of providing quarterly guidance until such time as its business returns to a more predictable cadence. "The Coldwater Creek Board and management are committed to taking all appropriate steps to enhance stockholder value and have determined that undertaking a thorough and deliberative evaluation of strategic alternatives, with the assistance of its financial and legal advisors, is in the best interests of the Company and all of its stockholders," said Jill Dean, President and Chief Executive Officer of Coldwater Creek. "As a result of an increasingly challenging retail environment, we are continuing to take the necessary steps towards improving our financial position as well as our long-term prospects as a more competitive and successful company. In that regard, we will continue to concentrate on maximizing shareholder value with a relentless focus on driving sales and customer loyalty, as well as prudently right-sizing the business to today's environment."