Rue 21's sales results weak amid purchase of company
Cranberry teen clothing retailer rue21's sales results are unlikely to reassure those raising financing for the planned $1.1 billion sale of the company to a private equity investor. In a regulatory filing, rue21 reported sales so far in the third quarter were down 9.5 percent in stores open at least a year. In fiscal September, which began Sept. 1 and will end Oct. 5, sales were down 12.8 percent. Rue21 released the data because it "may be provided to prospective lenders in connection with the financing of the transactions contemplated by the previously announced merger agreement." Shareholders last week agreed to accept the offer of $42 per share and officials said they expected the deal to close in early October. But the Wall Street Journal is reporting investors are being offered a discounted price on debt associated with the sale.
Schneider employees mentor women in financial stress
More than 40 employees of Schneider Downs Wealth Management will act as mentors for women experiencing financial crisis through a partnership with United Way of Allegheny County and NeighborWorks America. The women are receiving assistance through United for Women, a United Way initiative that raises money for women who need support because of unexpected circumstances. The Schneider Downs volunteers will assist the women with items such as budgeting, savings and financial planning.
Company being acquired by Mylan draws warning
The U.S. Food and Drug Administration has issued a warning letter to Agila Specialties -- a maker of generic injectable drugs that is being acquired by Cecil-based Mylan Inc. -- citing "significant violations" of manufacturing regulations at a plant in Bangalore, India. The violations, which stem from an FDA inspection in June, included the use of non-sterile gloves with "visible holes and flaking," according to the letter dated Sept. 9 and posted on the agency's website this week. "The deficiencies uncovered in this inspection are extensive and indicate that you lack an effective quality management operation," the letter stated. Mylan did not respond to a request for comment Thursday. The generic drug giant said earlier this month that it expects to complete the $1.6 billion acquisition of Agila in the fourth quarter. To read the Agila warning letter visit http://www.fda.gov/ICECI/EnforcementActions/WarningLetters/2013/ucm369407.htm
Stadium authority's board extends agency's life 15 years
The Pittsburgh Stadium Authority has a new lease on life, albeit much shorter than originally anticipated. The authority board voted unanimously Thursday to extend the agency's life by 15 years to Dec. 31, 2028. The authority had been considering an extension of 35 to 50 years, but reduced it after discussions with city councilman Bill Peduto, the Democratic nominee for mayor and the heavy favorite in the November election. Mr. Peduto said he did not want the authority's existence extended beyond the 15 years it took to pay off the $18 million in debt on the authority-owned West General Robinson Street garage. The authority's main function is to oversee the development of the land it owns between Heinz Field and PNC Park. Mr. Peduto eventually would like to see those duties turned over to the city Urban Redevelopment Authority.
Pending home salses decline in August
The National Association of Realtors said Thursday that its seasonally adjusted index for pending home sales declined 1.6 percent to 107.7 in August. The index has fallen for three straight months after reaching a 6 1/2-year high in May.
J.C. Penney's trying to calm jittery investors
J.C. Penney's on Thursday sought to appease investors who were worried about the company's cash liquidity and sales following a gloomy analyst report on the company. The statements came after Penney shares fell near 13-year lows on Wednesday to close at $10.12. Shares rose 3 percent, or 30 cents, to close at $10.42.
U.S. selling more of its General Motors shares
The U.S. government is starting another phase of selling off its General Motors stock. The Treasury Department got 912 million shares, a 60.8 percent stake in the company, in exchange for a $49.5 billion bailout of GM in 2009. So far taxpayers have recovered about $36 billion but are likely to lose around $10 billion on the deal.
Toyota to export cars that it is building in U.S.
Toyota says it will begin sending U.S.-built Corolla sedans to 18 countries in Latin America and the Caribbean starting next year. The world's biggest car maker said Thursday that production of the U.S.-built vehicles is set to start at its Tupelo, Miss., plant in April 2014.
Nissan recalls 908,900 vehicles over sensors
Nissan Motor Co. recalled 908,900 Serena minivans, Infiniti M luxury models, X-trail sport utility vehicles and other models around the world Thursday for defective accelerator sensors that could cause the engine to stall.
EBay agrees to purchase Braintree for $800M
E-commerce giant eBay Inc. reached a deal to buy online and mobile payments technology provider Braintree for $800 million in cash. The move comes as eBay's PayPal unit works to evolve from its roots as an online payments provider, expanding its offline, mobile and online offerings to stores, restaurants and other business. EBay said it expects to close the deal before the end of the year.
Paula Deen goods still on shelves at Wal-Mart
Despite Wal-Mart's July announcement that it ended its relationship with Paula Deen, the world's largest retailer said Wednesday that it expects to keep her branded cookware on the shelves through the end of the year because it still had some of her products in the supply pipeline. The Bentonville, Ark., company was among numerous companies that severed ties with Ms. Deen after the celebrity chef acknowledged that she had used racial slurs.businessnews