Paul Harris Stores Inc. is buying the assets of J. Peterman Co. for $10 million in cash in a deal approved by the bankruptcy court in Lexington, KY, Friday night. A liquidation sale for the bankrupt catalog company had been scheduled for March 6.
Paul Harris is an Indianapolis-based women’s apparel chain with over 300 stores. The company is not assuming any debt under the plan. J. Peterman will be run as a Paul Harris subsidiary.
The fate of the catalog is unclear. “It is inoperable at the moment,” Charlotte G. Fischer, Paul Harris’ chairman, president and CEO, told DIRECT Newsline. “We are certainly looking at the catalog for the future, but we couldn’t tell you when we’ll be launching another one.” (Paul Harris does not publish catalogs.)
In addition to the catalog, Paul Harris is buying J. Peterman’s brand, mailing list, distribution center, Web site, intellectual property, inventory, fixed assets, stores and leasehold rights to the stores.
Also unclear is whether founder John Peterman himself will be part of the resurrection. “We are just beginning to evaluate employees of J. Peterman, including Mr. Peterman,” Fischer said during a news conference yesterday. But the Associated Press has reported that John Peterman said he had been ousted on Sunday.
“I have no comment on anything Mr. Peterman says,” Fischer told DIRECT Newsline.
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