Tailored Brands
 |
| Company type | Private |
|---|---|
| Industry | Retail |
| Founded | 1973 (as Men's Wearhouse) |
| Founder | George Zimmer |
| Headquarters | , U.S. |
Number of locations | 1,450 (Feb. 2020) [1] |
Area served | United States Canada |
Key people | Bob Hull and Peter Sachse (interim co-CEOs)[2] |
| Products | Men's clothing, footwear, tuxedo rentals and suit pressing |
| Revenue |  US$ 2.881 billion (2019) [1] |
| US$ 97.84 million (2019)[1] | |
| US$−82.28 million (2019)[1] | |
| Total assets |  US$ 2.219 billion (2019)[1] |
| Total equity | US$−98.31 million (2019)[1] |
Number of employees | 19,300 (Feb. 2020)[1][2] |
| Subsidiaries | Jos. A. Bank Men's Wearhouse Moores K&G Fashion Superstore |
| Website | www |
Tailored Brands, Inc. is an American retail holding company for various men's apparel stores, including the Men's Wearhouse and Jos. A. Bank brands.[3] The company is headquartered in Houston, Texas, with additional corporate offices in Dublin, California and New York, New York.[4]
History and operations
[edit]Tailored Brands, Inc. was created in January 2016 when Men's Wearhouse reorganized as a holding company and changed its ticker symbol from MW to TLRD.[3] The company operates Men's Wearhouse, Men's Wearhouse & Tux, K&G Superstores (an off-price retail chain), Moores Clothing for Men (a Canadian chain of men's clothing stores), Twin Hill (a provider of corporate uniforms), and Jos. A. Bank.
Tailored Brands's predecessor, Men's Wearhouse, was founded in 1973 by George Zimmer as a retail men's clothing store. The business had grown to 100 stores by the time it held an IPO in 1992, raising $13M.[5] Zimmer turned Men's Wearhouse into an industry consolidator, acquiring numerous competitors throughout his tenure leading the firm. In 1997, it purchased, then liquidated, the bankrupt Kuppenheimer chain.[6]
Men's Wearhouse notably ran television and radio commercials featuring Zimmer, and the oft-repeated slogan, "You're going to like the way you look; I guarantee it."[7] According to Business Week, Men's Wearhouse targets the common man, with "the neatly displayed clothes in Zimmer's stores [being] designed to cater to the unpretentious guy who wants to do as little as possible to maintain his wardrobe."[8]
On November 17, 2006, Men's Wearhouse acquired After Hours Formalwear, a clothier specializing in black tie formalwear, from Federated Department Stores, the parent company of department store company Macy's. After Hours Formalwear was originally rebranded MW Tux, but has now been rolled up under the Men's Wearhouse brand. The formalwear group within Men's Wearhouse specializes in tuxedo rentals for men and boys for black tie events.
In 2009, Men's Wearhouse became a major sponsor of the United Football League and continued to sponsor the league in 2010. In that same year, the company acquired the trade and assets of Alexandra plc, which was in administration and Dimensions Corporatewear to develop its presence in Europe.[citation needed]
In 2013, the company acquired the Joseph Abboud brand to its lineup.[9]
On June 19, 2013, the company dismissed founder and Executive Chairman George Zimmer for undisclosed reasons.[10] The company later stated that Zimmer was dismissed due to "difficulty accepting the fact that Men's Wearhouse is a public company with an independent board of directors and that he has not been the chief executive officer for two years. He advocated for significant changes that would enable him to regain control."[11]
Acquisition of Jos. A. Bank
[edit]In October 2013, Men's Wearhouse received a $2.4 billion acquisition offer from smaller rival Jos. A. Bank.[12] Men's Wearhouse countered with an offer of its own, which sparked a five-month takeover battle between the two menswear retailers. After Jos. A. Bank rejected the initial counteroffer, Men's Wearhouse announced that it would increase its all-cash bid if Jos. A. Bank revealed limited financial information and entered into negotiations.[13] In an attempt to dilute shares and become too large for Men's Wearhouse to purchase, Jos. A. Bank agreed to acquire the men's outdoor clothing company Eddie Bauer for $825 million.[14] Men's Wearhouse immediately responded by filing a lawsuit to block the proposed acquisition, which was expedited by Delaware Judge J. Travis Laster."[15] The lawsuit required Jos. A. Bank to disclose documents relating to the deal and prevented it from closing the deal without giving Men's Wearhouse 10 days' notice.
On November 12, 2013, Ricky Sandler, CEO of Eminence Capital LLC, published a letter he sent to Men's Wearhouse CEO Douglas Ewert discussing a merger with Jos. A. Bank.[16] On November 15, 2013, Joseph A. Bank Clothiers Inc. withdrew "its all-cash proposal to purchase Men's Wearhouse for $48 a share after its self-imposed November 14 deadline".[17]
In March 2014, Men's Wearhouse reached an agreement to acquire Jos. A. Bank for $1.8 billion, on the condition that it dropped its acquisition bid for Eddie Bauer.[18] A Federal Trade Commission investigation into the deal concluded in May 2014, concluding that the merger was "not likely to harm consumers"; the completion of this investigation was required for the merger to go forward.[19]
Tailored Brands filed for bankruptcy due to the coronavirus pandemic and its 1.4 billion dollar long term debt load on August 2, 2020,[20] after announcing a few weeks earlier that they would close around 500 locations.[21]
References
[edit]- ^ a b c d e f g "Inline XBRL Viewer".
- ^ a b "Tailored Brands". Fortune. Archived from the original on February 28, 2019. Retrieved June 15, 2020.
- ^ a b Men's Wearhouse Announces New Holding Company: Tailored Brands, Inc.
- ^ "company-information". tailoredbrands.com/company-information. Archived from the original on August 18, 2020. Retrieved June 18, 2019.
- ^ The History of Men's Wearhouse
- ^ "Men's Wearhouse to liquidate remaining Kuppenheimer stores", Atlanta Business Chronicle, March 4, 1997.
- ^ "Zimmer no longer there to". tribunedigital-chicagotribune. Retrieved May 12, 2016.
- ^ Lee, Louise. "Spiffing Up Men's Wearhouse", BusinessWeek, November 1, 2004.
- ^ Men's Wearhouse to Acquire Iconic American Designer Brand
- ^ "Men's Wearhouse Fires Founder; He Fires Back". CNBC. June 19, 2013.
- ^ Kaplan, David. "Men's Wearhouse explains why it canned Zimmer." Houston Chronicle. June 25, 2013. Retrieved on June 25, 2013.
- ^ "Men's Wearhouse rejects $2.4 billion bid from Jos. A. Bank". CNN Money. October 9, 2013. Retrieved April 28, 2014.
- ^ "Men's Wearhouse Adds Fiery Lawsuit, More Money to Takeover Fight". Bloomberg.com. Bloomberg Businessweek. February 24, 2014. Archived from the original on March 2, 2014. Retrieved April 28, 2014.
- ^ "Jos. A. Bank agrees to buy Eddie Bauer". CNN Money. February 14, 2014. Retrieved April 28, 2014.
- ^ "Judge Expedites Men's Wearhouse Lawsuit". New York Times Dealbook. February 26, 2014. Retrieved April 28, 2014.
- ^ Karr, Arnold J. (November 12, 2013). "Men's Wearhouse Open to Jos. A. Bank Talks, Investor Says". WWD. Retrieved November 12, 2013.
- ^ Palmieri, Jean E. (November 17, 2013). "Jos. A. Bank Withdraws Bid for Men's Wearhouse – WWD". WWD. Retrieved May 12, 2016.
- ^ Jayakumar, Amrita (March 11, 2014). "Men's Wearhouse finally buys Jos. A. Bank". The Washington Post.
- ^ Briggs, James (May 30, 2014). "FTC gives green light to $1.8B Jos. A. Bank, Men's Wearhouse merger". Baltimore Business Journal.
- ^ Murphy, Mike. "Men's Wearhouse, Jos. A. Banks parent Tailored Brands files for bankruptcy: Report". Marketwatch.
- ^ "Tailored Brands is closing 500 stores". CNN. July 21, 2020.
External links
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