Posted: 11 Oct 2010 03:38 PM PDT

By Nivedita Bhattacharjee and Megan Davies

BANGALORE/NEW YORK (Reuters) - Children's clothing maker Gymboree Corp is selling itself to buyout firm Bain Capital Partners for $1.8 billion, it said on Monday, as cheap valuations and clean balance sheets make specialty apparel companies attractive takeover targets.

Bain beat other private equity bidders such as Apollo Global Management , which also had been pursuing the firm, two sources familiar with the situation said on Monday.

The deal values Gymboree at $65.40 in cash and includes a "go-shop" period of 40 days until November 20 when the company can solicit rival bids.

Shares closed at $64.83 on Nasdaq, indicating the market is not anticipating a higher bid for the company.

About one third of the deal value is made up of equity and the remainder debt, one of the sources familiar with the situation told Reuters.

Private equity deal flow has increased in recent months, as financing markets have rebounded. Some buyout funds are under pressure to spend money before their investment periods end and concerns about potential tax hikes rise.

CRAZY 8

Many observers are expecting Crazy 8, a cheaper, funkier line of children's wear, to spur growth the company.

Gymboree has topped earnings estimates for the past six quarters, helped by the popularity of its "Gymbucks" program, where customers spending above a certain limit receive coupons, which they can then redeem on later purchases.

"The timing (for Gymboree) is prudent just because it allows them more flexibility to ramp up the growth of Crazy 8," said Betty Chen, who covers specialty apparel companies at Wedbush Securities.

"If companies have a growth vehicle, (going private) presents a great opportunity to grow it in private, incubate it, gain some traction and then take it out again in two or three years' time," Chen said.

Analysts think deal could fuel more takeovers in specialty apparel, with three analysts naming Children's Place Retail Stores Inc as a possible candidate. Children's Place, which hit a new year-high Monday, closed up 2 percent on Nasdaq, while rival Carter's Inc ended the day up 3 percent on the New York Stock Exchange.

"Specialty apparel companies usually have a lot of cash flow and the brand equity is also something that is quite difficult to start from scratch ... if you buy a strong brand like Gymboree, that is compelling," Chen said.

FAIR DEAL

Gymboree shareholders will get $65.40 in cash for each share held; a premium of 23.5 percent to the stock's closing on Friday. The offer values the company at a 57 percent premium to the stock's trading price before reports on a possible sale of the company made the rounds on September 30.

"The offer is in the range of what we were expecting ... around seven and a half to 8 times EBITDA," Chen said.

The deal is structured as a tender offer, which typically takes a shorter time to close than a regularly structured deal. A recent deal to take Burger King private was similarly structured.

Though the offer is not on par with what deals were at before the recession, it is compelling, said Sterne Agee & Leach analyst Margaret Whitfield. "I think shareholders will have something to say if an offer like this is turned down," she said.

The San Francisco-based retailer's shares were trading at about 13 times forward earnings, nearly half the industry average of around 25.

As of July 31, the company, which operates about 1,000 retail stores in the United States, Canada, Puerto Rico and Australia, had cash on hand of about $132.4 million and no long-term debt.

The company said it will solicit acquisition proposals from third parties for a period of 40 days.

Goldman Sachs is acting as financial adviser to the special committee of the board. Morgan Stanley and Credit Suisse are providing financing for the deal, one of the sources said.

(Reporting by Nivedita Bhattacharjee in Bangalore and Megan Davies in New York. Additional reporting by NR Sethuraman, Anil D'Silva. Editing by Gopakumar Warrier, Anthony Kurian and Robert MacMillan)

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Kids in colorful clothes, Bulldog and 'groovy' '60s garb - Carmi Times

Posted: 26 Oct 2010 09:01 AM PDT

Carmi, Ill. —

Carmi-White County students are celebrating Red Ribbon Week, Oct. 25-29.

This year's theme is "Peace Not Drugs!" White County Coal is providing the red ribbons again this year. As in past years, all district buildings will be decorated with red ribbons. Churches, businesses, clubs, etc. in the community will be encouraged to display red ribbons in support of the goal of a drug-free community. Community members will be encouraged to wear red on "Wear Red Day," Wednesday, Oct. 27.

Here is a schedule of daily events for the rest of the week:

Tuesday, Oct. 26:

Brownsville - Students will make handprints and use them to make a drug free chain to decorate the halls of the school.

Lincoln - Students will "Let Their True Colors Shine Drug Free" by wearing their most colorful clothes and coloring a "Drug Free" poster.

Jefferson - Students will demonstrate their peace-loving school spirit by wearing Bulldog apparel and/or maroon and white. Students will receive a Red Ribbon Week bookmark donated by the PTO.

Crossville - Students will be given Peace Necklaces and wear groovy 60's clothing for Peace Day. Students will be served a red treat during lunch.

Middle School - Peaceful School Spirit Day! Students and staff will be encouraged to show their peaceful school spirit by wearing their Red Ribbons on their Maroon and White and/or Bulldog apparel.

High School - Maroon and White Day! All students are encouraged to wear maroon and white to show their support for "Peace not Drugs;" skit competition during lunch hour.

Wednesday, Oct. 27: WEAR RED DAY!

Brownsville - Backwards Day! Students and staff will be encouraged to wear their red clothes backwards today.

Lincoln - Students and adults will wear red and all students will receive a Red Ribbon Week pencil, donated by the PTO.

Jefferson - Students and adults will wear red and a red dessert/treat will be served at lunch.

Crossville - Students will wear red, will have Peace Cookies for lunch, and be given a Red Ribbon Week pencil.

Middle School - Wear Red Day Drawing! Student names will be drawn from each grade level during their lunch period. If their name is drawn and they are wearing red, they will receive a red treat donated by Rice Motor Company.

High School - All students are encouraged to wear red to show their support for "Peace not Drugs;" skit competition during lunch hour.

Thursday, Oct. 28:

Brownsville - Red Ribbon Week Dance! Students will have a dance in the school gym and will be treated to red refreshments.

Lincoln - Students will say "Boo to Drugs" by wearing their Halloween costumes to school.

Jefferson - Students will "Scare Away Drugs" by wearing their Red Ribbons on their Halloween costumes. Drawing for "Peace Backpack Tags" will be held at the end of the day.

Crossville - Students will wear "scary" costumes to scare drugs and students will be given a Red Ribbon Week bookmark.

Middle School - "Peace Out" Day - Students and staff will exhibit their peace-loving spirits by wearing their coolest hippie clothes.

High School - All school assembly during 3rd hour. Winning skit(s) will perform!

Friday, Oct. 29:

Teacher In-Service (Mt. Vernon Conference) Day - all faculty, staff and administrators will be encouraged to wear their Red Ribbons on this final day of Red Ribbon Week.

How to Save Money when Clothes Shopping for Kids - Associated Content

Posted: 25 Oct 2010 03:25 AM PDT

Kids are constantly growing, and this means that you have to constantly focus on buying them more, and more clothes. It can be very difficult to save money on kids clothing. Of course

occasionally you will find a sale here and there, but even with that it can cost you a large amount of money. The key is to learn the secrets to saving money when you need to go clothes shopping. Below you will find a few ideas, and suggestions that may prove to be helpful.

Shop after the holidays

You will first want to start by focusing on the after the holiday sales. After the holidays, you will find better deals than at the beginning of the holidays. You will find plenty of things on clearance during the after the holiday sales. There are many items that will be marked down at least by 90% in some cases. Remember that for retailers, they want to clean out the inventory, and get some new items in for the next season.

Sign up for the store newsletters

Most stores nowadays have newsletters that you can sign up for. These newsletters are usually sent through email, and with them come coupons. You will also be the first to find out about special sales that the store will be having. Take advantage of these special sales, when they come up, and the coupons. This is really a great way to save as much money as possible when you are clothes shopping for the kids.

Make a list

The first thing that you want to do is make a list of items that you need for your kids. This will make sure that you stick to getting what you really need. If your kids are old enough you can have them sit down and make a list of what items they want, or need. Once you have your list, see what stores have the best deals on the items that you need. You can do this by looking online first, and see what they are currently offering.

Stick to your budget

Sticking to your budget is really a great way to save money on the clothes that you are buying for your kids. It can be very easy to go over budget when you are clothes shopping. If you set a budget for each of your children you will find that you end up spending a lot less money when you are shopping.

Kids Clothing

Tuesday, October 26, 2010

“Bain pays $1.8 billion for kids clothing firm Gymboree - msnbc.com” plus 2 more

“Bain pays $1.8 billion for kids clothing firm Gymboree - msnbc.com” plus 2 more

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