Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - BON TON STORES INC | c11432e8vk.htm |
| EX-10.1 - EXHIBIT 10.1 - BON TON STORES INC | c11432exv10w1.htm |
EXHIBIT 99.1
THE BON-TON STORES, INC. ANNOUNCES TWO KEY MANAGEMENT UPDATES
~Amendment to Contract of President and Chief Executive Officer, Bud Bergren~
~Promotion of Barbara Schrantz to Chief Operating Officer~
~Amendment to Contract of President and Chief Executive Officer, Bud Bergren~
~Promotion of Barbara Schrantz to Chief Operating Officer~
York, PA, January 24, 2011 — The Bon-Ton Stores, Inc. (NASDAQ: BONT) today announced its
Board of Directors unanimously approved an amendment to Bud Bergren’s Employment Agreement, which
states Mr. Bergren will continue to serve as President and Chief Executive Officer through February
5, 2012. Mr. Bergren’s term as President and Chief Executive Officer will automatically renew for
successive periods of one year unless either the Company or Mr. Bergren elects not to renew his
term as President and Chief Executive Officer. Subsequent to Mr. Bergren’s term as President and
Chief Executive Officer, he will continue as a director, and, at the Company’s election, will also
serve as the Chairman of the Board until the annual meeting of shareholders that is at least 12
months following the end of the CEO Term.
Tim Grumbacher, Executive Chairman of the Board of Directors, commented, “We are very pleased
that Bud has accepted the Board’s request to continue in his role as President and Chief Executive
Officer. Bud provides significant leadership and insight to identify strategic initiatives as we
leverage our operational and merchandising strengths. Bud’s vision, leadership and execution
continue to guide us and we look forward to his ongoing contributions as we position our Company
for future growth and profitability.”
Mr. Bergren commented, “I want to thank the Board of Directors and Tim for their continued
support and confidence. We have significant opportunities to drive top-line growth and deliver
improved profitability. I am very fortunate to have a strong, experienced management team and
dedicated group of associates assisting me in the pursuit of these goals.”
Additionally, the Company announced that Barbara Schrantz, 52, has been promoted to the
position of Chief Operating Officer, effective January 30, 2011. Ms. Schrantz is currently
Executive Vice President, Sales Promotion and Marketing. In addition to her current
responsibilities, Ms. Schrantz will have Stores, Visual, Logistics & Distribution, Loss Prevention,
Construction, Human Resources, Corporate Procurement & Operations and Information Systems reporting
to her.
Ms. Schrantz has 24 years experience in the department store industry. She has been Executive
Vice President, Sales Promotion and Marketing since March 2009. Prior to that, Ms. Schrantz served
as Executive Vice President, Stores and Visual since March 2008. She served as Senior Vice
President, Merchandise Planning and Internet Marketing from September 2006 to February 2008, and as
Senior Vice President, Product Development and Private Brand from September 2005 to August 2006.
Before joining Bon-Ton, Ms. Schrantz held various merchandising posts of increasing responsibility,
including Senior Vice President, General Merchandise Manager, at the 53-store Profitts/McRae’s
division of Saks Incorporated for more than five years.
Bud
Bergren commented, “We are pleased to recognize Barb’s contribution to Bon-Ton and to
announce her promotion to Chief Operating Officer. Barb brings extensive retail experience to her
new position and we are fortunate to have such a seasoned executive in this key role in support of
the continued growth of our Company. I look forward to working with her to realize our plan for
future growth and profitability. Please join me in congratulating Barb as she assumes her new
responsibility and wishing her the very best for the future.”
Reporting directly to Mr. Bergren, effective January 30, 2011, will be Tony Buccina, Vice
Chairman and President — Merchandising; Barbara Schrantz, Chief Operating Officer; Keith Plowman,
Executive Vice President and Chief Financial Officer and Paul Ruby, Senior Vice President, Real
Estate.
The Bon-Ton Stores, Inc., with corporate headquarters in York, Pennsylvania and Milwaukee,
Wisconsin, operates 275 department stores, which includes 11 furniture galleries, in 23 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 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; changes in the terms of 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; 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; 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.
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