Sharper Image Obtains $20 Million Loan in Wake of Sales Decline
Sharper Image Corp. has obtained a $20 million loan from Wells Fargo Retail Finance LLC, secured by the appraised value of the company’s intellectual property.
The company will have access to $10 million immediately and the rest within 45 days.
“The Sharper Image recently expanded our existing revolving credit facility and this additional $20 million term loan increases the total amount available to a maximum of $140 million,” said in a statement company president and CEO Steven A. Lightman.
Sharper Image recently reported its year to date sales through July 31 were $143.4 million, compared to $208.2 million for the same period last year, a decrease of 31%.
It reported $22 million in combined catalog, direct marketing sales and wholesale sales for a six-month period through July 31, compared to $54.5 million for the same period in 2006, a decrease of 60%. Internet sales for the company for six months through July 31 were $19.9 million, compared to $32.3 million reported for the same period in 2006, a decrease of 38%.
