NEW YORK, March 6, 2012 /PRNewswire/ -- As previously
announced, on February 23, 2012,
Kenneth Cole Productions, Inc. (NYSE: KCP) (the "Company") received
a non-binding proposal from Kenneth
Cole, Chairman and Chief Creative Officer of the Company and
the holder of approximately 47% of the Company's outstanding common
stock (representing approximately 89% of the voting power), to
acquire all of the outstanding shares of the Company's Class A
common stock that he does not currently directly or indirectly own
for $15.00 per share in cash.
In response, the special committee of independent directors
established by the Company's board of directors delivered a letter
to Mr. Cole requesting that he reconsider his position that he is
unwilling to consider any alternative proposals. On
March 2, 2012, Mr. Cole responded by
letter that he did not intend to change his position.
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On March 1, 2012, the special
committee retained BofA Merrill Lynch as its independent financial
adviser to assist it in evaluating and determining the Company's
response to Mr. Cole's proposal and, if the special committee deems
it appropriate, to assist it in considering any alternative
transactions.
The special committee cautions the Company's shareholders and
others considering trading in its securities that no decision has
been made with respect to the special committee's response to the
proposal. There can be no assurance that any definitive offer
will be received, that any agreement will be executed or that the
transaction contemplated in the proposal or any other transaction
will be approved or consummated. The Company does not
anticipate making any further public statements about this matter
or the activities of the special committee unless and until either
it enters into a definitive agreement for a transaction or the
special committee determines that no such transaction will be
effected.
About Kenneth Cole Productions, Inc.
Kenneth Cole Productions, Inc. designs, sources, and markets a
broad range of footwear, handbags, apparel and accessories under
the brand names Kenneth Cole New York; Kenneth
Cole Reaction; and Unlisted, as well as footwear
under the proprietary trademark Gentle Souls. The
Company has also granted a wide variety of third party licenses for
the production of men's, women's and children's apparel as well as
fragrances, watches, jewelry, eyewear, and several other accessory
categories. The Company's products are distributed through
department stores, better specialty stores, company-owned retail
stores and its e-commerce website. Further information can be
found at http://www.kennethcole.com/.
Forward Looking Statement Disclosure
The statements contained in this release that are not historical
facts may be deemed to constitute "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995. Actual future results might differ materially from
those projected in such statements due to a number of risks and
uncertainties, including but not limited to those mentioned above,
demand and competition for the Company's products, the ability to
enter into new product license agreements or to renew or replace
existing product licensee agreements, changes in consumer
preferences or fashion trends, delays in anticipated store
openings, and changes in the Company's relationships with
retailers, licensees, vendors and other resources. The
forward looking statements contained herein are also subject to
other risks and uncertainties that are described in the Company's
reports and registration statements filed with the Securities and
Exchange Commission, including without limitation the risk factors
described in Item 1A of the Company's most recent annual report on
Form 10-K filed on March 7, 2011.
SOURCE Kenneth Cole Productions, Inc.