The Bon-Ton Stores, Inc. Announces Redemption of $65 Million of Its 10¼%
Senior Notes Due 2014
YORK, Pa. -- January 23, 2013
The Bon-Ton Stores, Inc. (NASDAQ: BONT) (the “Company”) today announced that
The Bon-Ton Department Stores, Inc., a wholly-owned subsidiary of the Company,
issued a notice of partial redemption for $65 million aggregate principal
amount of its outstanding 10¼% Senior Notes due 2014 (the “2014 Notes”) at a
cash redemption price equal to 100% of the principal amount of the 2014 Notes,
plus accrued and unpaid interest, if any, to, but not including, the
redemption date. The redemption date will be February 22, 2013. Upon
completion of the redemption, approximately $69 million aggregate principal
amount of the 2014 Notes will remain outstanding.
Payment of the redemption price will be made on or after the redemption date
only upon presentation and surrender of the 2014 Notes to the paying agent.
Interest on the 2014 Notes that have been called for redemption will cease to
accrue on and after the redemption date.
The notice of partial redemption will be sent by The Bank of New York Mellon,
the trustee for the 2014 Notes, to the registered holders of the 2014 Notes.
Copies of the notice of partial redemption and additional information relating
to the procedure for redemption may be obtained from The Bank of New York
Mellon at 1.800.254.2826.
The Bon-Ton Stores, Inc., with corporate headquarters in York, Pennsylvania
and Milwaukee, Wisconsin, operates 273 department stores, which includes 11
furniture galleries, in 24 states in the Northeast, Midwest and upper Great
Plains under the Bon-Ton, Bergner’s, Boston Store, Carson Pirie Scott,
Elder-Beerman, Herberger’s and Younkers nameplates and, in the Detroit,
Michigan area, under the Parisian nameplate. The department stores offer a
broad assortment of national and private brand fashion apparel and accessories
for women, men and children, as well as cosmetics and home furnishings. For
further information, please visit the investor relations section of the
Company’s website at http://investors.bonton.com.
Certain information included in this press release contains statements that
are forward-looking within the meaning of the Private Securities Litigation
Reform Act of 1995. Such forward-looking statements, which may be identified
by words such as “may,” “could,” “will,” “plan,” “expect,” “anticipate,”
“estimate,” “project,” “intend” or other similar expressions, involve
important risks and uncertainties that could significantly affect results in
the future and, accordingly, such results may differ from those expressed in
any forward-looking statements made by or on behalf of the Company. Factors
that could cause such differences include, but are not limited to, risks
related to retail businesses generally; a significant and prolonged
deterioration of general economic conditions which could negatively impact the
Company, including the potential write-down of the current valuation of
intangible assets and deferred taxes; risks related to the agreement governing
the Company’s proprietary credit card program; potential increase in pension
obligations; consumer spending patterns, debt levels, and the availability and
cost of consumer credit; additional competition from existing and new
competitors; inflation; deflation; changes in the costs of fuel and other
energy and transportation costs; weather conditions that could negatively
impact sales; uncertainties associated with expanding or remodeling existing
stores; the ability to attract and retain qualified management; the dependence
upon relationships with vendors and their factors; a data security breach or
system failure; the ability to reduce or control SG&A expenses, including
initiatives to reduce expenses and improve efficiency; operational
disruptions; unsuccessful marketing initiatives; the failure to successfully
implement our key strategies, including initiatives to improve our
merchandising, marketing and operations; adverse outcomes in litigation; the
incurrence of unplanned capital expenditures; the ability to obtain financing
for working capital, capital expenditures and general corporate purpose; the
impact of new regulatory requirements including the Credit Card Accountability
Responsibility and Disclosure Act of 2009 and the Health Care Reform Act; the
inability or limitations on the Company’s ability to favorably adjust the
valuation allowance on deferred tax assets; and the financial condition of
mall operators. Additional factors that could cause the Company’s actual
results to differ from those contained in these forward-looking statements are
discussed in greater detail under Item 1A of the Company’s Form 10-K filed
with the Securities and Exchange Commission.
The Bon-Ton Stores, Inc.
Mary Kerr, 717-751-3071
Investor & Public Relations
Press spacebar to pause and continue. Press esc to stop.