NEW YORK--(BUSINESS WIRE)--New York & Company, Inc. (NYSE:NWY), a specialty apparel chain with 464 retail stores, today responded to a Schedule 13D filed April 26, 2017 by Kanen Wealth Management LLC (“Kanen”) with the Securities and Exchange Commission and a related letter sent by Kanen to the Company’s board of directors (the “Board”) with the following statement:
New York & Company welcomes open communications with our shareholders and values all input that may advance the Company’s goal of enhancing shareholder value. While the Company generally does not comment on discussions with shareholders, the Company believes it is important to note that members of the Company’s senior management team and Board have held numerous discussions with Kanen over the last several months, including in-person meetings in which Kanen has presented its views regarding the Company.
Our Board and management team are fully committed to maximizing value for all shareholders through the successful execution of the Company’s strategy and adherence to good corporate governance practices. Over the past two years, the Company has added two new independent directors to our nine-member board. In addition, our Board continues its search for a new, additional independent director with expertise in new or growing areas of our business, such as E-Commerce, Omni-Channel or Digital, in order to provide a unique and fresh perspective.
New York & Company’s Board and management team will continue to focus on the Company’s strategic plan to drive long-term growth and enhance the Company’s unique competitive position and value proposition. The Board and management team are committed to delivering value for all shareholders, and will continue to take actions to achieve this objective.
About New York & Company
New York & Company, Inc. is a specialty retailer of women’s fashion apparel and accessories, and the modern wear-to-work destination for women, providing fashion that is feminine, polished, on-trend and versatile. New York & Company, Inc. helps its customers feel confident, put-together, attractive and stylish by providing affordable fashion. The Company’s proprietary branded New York & Company® merchandise is sold through its national network of retail stores and online at www.nyandcompany.com. The Company operates over 400 stores nationwide.
This press release contains certain forward-looking statements, including statements made within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Some of these statements can be identified by terms and phrases such as “expect,” “anticipate,” “believe,” “intend,” “estimate,” “continue,” “could,” “may,” “plan,” “project,” “predict,” and similar expressions and references to assumptions that the Company believes are reasonable and relate to its future prospects, developments and business strategies. Such statements are subject to various risks and uncertainties that could cause actual results to differ materially. These include, but are not limited to: (i) market conditions impacting the Company’s stock; (ii) the impact of general economic conditions and their effect on consumer confidence and spending patterns; (iii) changes in the cost of raw materials, distribution services or labor; (iv) the potential for current economic conditions to negatively impact the Company’s merchandise vendors and their ability to deliver products; (v) the Company’s ability to open and operate stores successfully; (vi) the Company’s ability to fully recognize the potential savings identified through Project Excellence; (vii) seasonal fluctuations in the Company’s business; (viii) the Company’s ability to anticipate and respond to fashion trends; (ix) the Company’s dependence on mall traffic for its sales; (x) competition in the Company’s market, including promotional and pricing competition; (xi) the Company’s ability to retain, recruit and train key personnel; (xii) the Company’s reliance on third parties to manage some aspects of its business; (xiii) the Company’s reliance on foreign sources of production; (xiv) the Company’s ability to protect its trademarks and other intellectual property rights; (xv) the Company’s ability to maintain, and its reliance on, its information technology infrastructure; (xvi) the effects of government regulation; (xvii) the control of the Company by its sponsors and any potential change of ownership of those sponsors; (xviii) the composition of the Company’s board of directors and (xix) other risks and uncertainties as described in the Company’s documents filed with the SEC, including its most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. The Company undertakes no obligation to revise the forward-looking statements included in this press release to reflect any future events or circumstances.