Barney’s New York will be getting a bailout of at least $10 million from the government (meaning, us). This should relieve Istithmar World Capital, (the Dubai sovereign wealth fund that bought Barney’s in 2007) from some of the effects the recession is having on the retailer. The current recession has hit luxury retailers especially hard. ‘As a result of falling sales, Barneys, which still has no CEO, recently slashed 76 jobs and is facing a credit crunch from the factors that finance inventory from its vendors. One factor, Hilldun, has not approved shipments to Barneys for six weeks.’ This only has us wondering where our bailout is??
Via: New York Post