The proposed sale of rue21 to a private equity investor still needs various approvals and could draw competing bids. But if the Cranberry teen clothing retailer is sold and top executives lose their jobs, they are in line for golden parachutes worth millions. Robert N. Fisch, chairman, president and CEO, could collect $18.7 million, according to a recent regulatory filing, although Mr. Fisch has indicated he's willing to work with potential buyers. Four other named executives would be in line for a total of $15.2 million if they lose their jobs in a merger. The calculations were done using an effective date of Sept. 30 for the company sale, but it's not clear when the deal might be completed.
North Shore soup-maker agrees to $35M acquisition
TreeHouse Foods Inc., an Oak Brook, Ill., company that makes private label soup in the former Heinz plant on the North Shore, has agreed to buy Cains Foods., an Ayer, Mass.-based maker of mayonnaise, dressings and sauces. TreeHouse said it will pay $35 million for the business that generates about $80 million annually in revenue. The deal is expected to close in 30 days. TreeHouse reported $2.2 billion in revenue in the most recent fiscal year.
Local gas price falls by 0.5 cents
The average price for a gallon of regular unleaded gasoline in Pittsburgh fell by 0.5 cents to $3.55 this week, according to Gasbuddy.com. Pittsburgh's average is just below the national average of $3.57, which is down 3.8 cents from last week.
Neiman Marcus plans to raise $100M from IPO
Neiman Marcus plans to raise up to $100 million by returning to the stock market with an initial public offering. The plan to go public, announced in a regulatory filing Monday, comes about eight years after private equity firms TPG Capital and Warburg Pincus bought the luxury retailer for $5.1 billion. There were no further details in the Securities and Exchange Commission filing.
StarKist backs American Samoa coalition
A group of American Samoa's largest employers and businesses are forming a coalition to lobby in Washington, D.C., for policies that they see as supporting economic development in the U.S. territory. Among those backing the group's formation are StarKist, the tuna company based on Pittsburgh's North Shore.
Hostess Twinkies to return to shelves next month
Hostess is betting on a sweet comeback for Twinkies when they return to shelves next month. The company that went bankrupt after an acrimonious fight with its unionized workers last year is back up and running under new owners. It says it plans to have Twinkies and other snack cakes back on shelves starting July 15. Some of the previous workers were hired back, but they're no longer unionized.
Samsung tablets to resemble its smartphones
Samsung is making its tablet computers look more like its hit Galaxy phones in the hope that the success of the smartphones can boost tablet sales. The Galaxy Tab 3 series goes on sale in the U.S. on July 7.
Health care giant plans $1.8B takeover deal
Tenet Healthcare Corp. plans to buy fellow hospital operator Vanguard Health Systems Inc. for about $1.8 billion, in a deal that will expand its reach into new markets. Tenet said Monday that it will pay $21 per share, a 70 percent premium to Vanguard Health's Friday closing price of $12.37. The companies said the transaction also includes $2.5 billion in debt, and they value the entire deal at $4.3 billion.
Also in business...
Chris Whalen has been promoted to president of KCS management, a holding company for the White Oak-based Kings Family Restaurant chain that has more than 30 locations in Pennsylvania and Ohio. Mr. Whalen had been vice president of finance for Kings. ... Men's Wearhouse Inc. founder George Zimmer, who was fired June 19 as executive chairman, resigned from the company's board of directors effective immediately, citing concerns with the retailer's strategic direction.