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Melville to separate into three firms; hopes to sell Wilson's leather chain. (Melville Corp.)(Brief Article)
- Article from:
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Daily News Record
- Article date:
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October 25, 1995
- Author:
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Copyright informationCOPYRIGHT 1995 Fairchild Publications, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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NEW YORK - Breakup fever took hold at Melville Corp. Tuesday as the diversified retailer said it would split its ailing empire into three parts, seeking to focus sharply on specific businesses and boost its stock's value.
The plan failed to stir excitement on Wall Street as Melville has only one hot chain, CVS, and investors had long anticipated the breakup of one of the nation's largest specialty retailers, analysts noted.
Melville stock lost 1 1/4 to close at 33 3/8 Tuesday on the New York Stock Exchange.
In addition, the strategy calls for the $11.3 billion company to take an after-tax charge of $780 million in the fourth quarter. The write-off includes the ...
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