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Saks Fifth Avenue owner buying Neiman Marcus for $2.65 billion
Saks Fifth Avenue parent Hudson Bay Co. is acquiring Neiman Marcus for $2.65 billion, the companies told the New York Times, a move that would merge two national and upscale retailers.
The combined entity, to be called Saks Global, will have a combined 75 stores, including two Bergdorf Goodman locations, along with 100 off-price outlets, according to the Times.
“Part of what excited us about acquiring Neiman Marcus was acquiring their world-class sales force,” Richard Baker, HBC’s chief executive and chairman, told the newspaper on Wednesday. “People have forgotten how important people are. When selling luxury products, you need beautiful stores and salespeople customers trust.”
Amazon is facilitating the deal by taking a minority stake in Saks Global, the newspaper stated. The acquisition is being financed with $2 billion raised by HBC, and affiliates of Apollo Global Management are offering $1.5 billion in debt.
Pairing the luxury department store chains is not unexpected, retail analyst Neil Saunders of GlobalData said Wednesday in a report, noting that Saks and Neiman executives have explored joining for forces “for some time.” But Amazon’s involvement “adds a bit of spice” to the combination because it would give the online retailer a foothold in the luxury space.
“The real win here would be the ability of Amazon to streamline logistics and e-commerce, giving the new entity an advantage in a market where remote shopping has become more important to shoppers — especially younger ones, which both chains need to do more to attract.”
The investment in Neiman Marcus is Amazon’s first in a brick-and-mortar retailer since it acquired Whole Foods in 2017, according to Bloomberg News. Amazon declined to comment on the planned merger.
Among the country’s oldest retailers
Herbert Marcus Sr., his sister, Carrie Marcus Neiman, and her husband A.L. Neiman opened the retailer’s first store in Dallas, Texas, in 1907. The company was sold to department store operator Broadway-Hale in 1969, setting the stage for it to expand beyond Texas. Later, Neiman Marcus came under the ownership of the conglomerate Harcourt General, which also published textbooks and owned movie theaters.
In 1999, Harcourt General spun off Neiman Marcus stores and Bergdorf Goodman. Private equity firms TPG Capital and Warburg Pincus bought the company in 2005 for $5.1 billion.
Today, the retailer has 36 Neiman Marcus stores in the U.S., two Bergdorf Goodman stores and five Last Call outlets. The company declared bankruptcy in May of 2020, at the time becoming one of the highest-profile retailers to collapse as the COVID-19 pandemic was shuttering retailers across the U.S.; it emerged from court supervision roughly four months later after shedding billions in debt.
Saks, based in New York City, was founded in 1924 and today has 41 stores. Hudson Bay — which also runs the Canadian department store chain Hudson’s Bay is known as HBC and has a history dating back to 1670, bought Saks in 2013 for $2.9 billion, including debt, and also owns department store chain Lord & Taylor.
Both Saks and Neiman have struggled to boost growth in recent years. Although the enlarged company would have greater leverage in negotiating with brands, it would still likely struggle to compete with global luxury conglomerates such as Kering and LVMH, which could end up “creating an even bigger headache for Saks,” Saunders said.
CBS News
Organic carrots recalled after E. coli outbreak. These are the brands and grocery stores impacted.
A massive recall of organic carrots and baby carrots sold at grocery stores across the country was issued by a California grower after a possible outbreak of E. coli that has already killed one person.
Grimmway Farms, which made and packaged the organic carrots, issued the recall on Saturday after nearly 40 cases were recorded in 18 states. At least 15 people were hospitalized and one person has died, the Centers for Disease Control and Prevention said.
Where were the carrots sold?
A number of stores that sold the carrots across the United States, including Puerto Rico, and Canada are impacted, including Walmart, Kroger, Albertsons, Publix, Food Lion, Target, Whole Foods, Trader Joe’s and Canadian chains Loblaws and Compliments.
“State and local public health officials are interviewing people about the foods they ate in the week before they got sick,” the U.S. Food and Drug Administration said Sunday. “Of the 27 people interviewed, 26 reported eating carrots. The FDA’s traceback investigation identified Grimmway Farms as the common supplier of organic whole and baby carrots in this outbreak.”
What carrots have been recalled?
According to the FDA, the recall did not pull any carrots off the shelves at stores as they should no longer be available for sale, however, they may still be in people’s homes and refrigerators.
Organic whole carrots, which do not have a best-if-used-by date printed on the bag but were available for purchase at retail stores from Aug. 14 through Oct. 23, 2024.
Organic baby carrots with best-if-used-by-dates ranging from Sept. 11 through Nov. 12, 2024.
What brands of carrots have been recalled?
These lists include the brands or store’s brands (and bag size) that sold the carrots.
Organic Whole Organic Carrots
Whole Foods 365 – 1lb, 2lb, 5lb
Bunny Luv – 1lb, 2lb, 5lb, 10lb, 25lb
Cal-Organic – 1lb, 2lb, 5lb, 6lb, 10lb, 25lb
Compliments – 2lb
Full Circle – 1lb, 2lb, 5lb
Good & Gather – 2lb
GreenWise – 1lb, 25lbs
Marketside – 2lb
Nature’s Promise – 1lb, 5lb
O-Organics – 1lb, 2lb, 5lb, 10lb
President’s Choice – 2lb
Simple Truth – 1lb, 2lb, 5lb
Trader Joe’s – 1lb
Wegmans – 1lb, 2lb, 5lb
Wholesome Pantry -1lb, 2lb, 5lb
Organic Baby carrots
Whole Foods 365 – 12oz, 1lb, 2lb
Bunny Luv – 1lb, 2lb, 3lb, 5lb
Cal-Organic – 12oz, 1lb, 2lb, 2pk/2lbs
Compliments – 1lb
Full Circle – 1lb
Good & Gather – 12oz, 1lb
GreenWise – 1lb
Grimmway Farms – 25 lb
Marketside – 12oz, 1lb, 2lb
Nature’s Promise – 1lb
O-Organics – 12oz, 1lb, 2lb
President’s Choice – 1lb, 2lb
Raley’s – 1lb
Simple Truth – 1lb, 2lb
Sprouts – 1lb, 2lb
Trader Joe’s – 1lb
Wegmans – 12oz, 1lb, 2lb
Wholesome Pantry – 1lb, 2lb
What kind of E. coli might be associated with the outbreak?
According to the CDC, the carrots might be linked to an outbreak of E. coli O121:H19, which could cause severe stomach cramps, diarrhea (often bloody), and vomiting. Symptoms usually start three to four days after swallowing the bacteria and most people recover without treatment after five to seven days.
Some people may develop serious kidney problems and would need to be hospitalized, the CDC said.
Already 39 people have been infected across 18 states including Washington, Minnesota, New York, California, Oregon, South Carolina, New Jersey, Texas, North Carolina, Missouri, Pennsylvania, Arkansas, Colorado, Massachusetts, Michigan, Orion, Virginia and Wyoming.
What should you do if you have the carrots?
The CDC and FDA say that any recalled carrots should be thrown away immediately or returned to the store for a refund. People should also clean and sanitize any surface they may have touched.
CBS News
Trump’s controversial Cabinet and senior staff picks face uncertain future in Washington
Washington — President-elect Donald Trump’s Cabinet and senior staff picks are facing an uncertain future as his selections received mixed reviews in recent days even from fellow Republicans — and a handful sent shockwaves through Washington.
Trump’s selection for attorney general in former Rep. Matt Gaetz, a GOP firebrand who was under investigation by the House Ethics Committee for allegations of sexual misconduct and obstruction, has drawn criticism from both sides of the aisle. And Trump’s pick for defense secretary in Pete Hegseth, an Army combat veteran and former Fox News anchor, has also sparked concerns, especially as an investigation into sexual assault allegations against him has been made public. Additionally, former Democratic Rep. Tulsi Gabbard, Trump’s pick for director of national intelligence, doesn’t have a background in intelligence and has drawn criticism for her views on Russia and other U.S. adversaries.
Appearing on “Face the Nation with Margaret Brennan” on Sunday, Democratic Rep. Jim Himes of Connecticut expressed astonishment about those questioning whether experience is necessary when asked about Gabbard, saying “of course it’s necessary.”
“These people are manifestly unqualified, and you know, they’re not prepared to run the very complicated organizations they’ve been asked to run,” Himes said.
But Himes, the ranking Democrat on the the House Intelligence Committee, said that Gaetz’s qualifications should also examined as well as the unreleased House Ethics Committee report.
“How is it that this is what we’re focusing on?” Himes said. “Matt Gaetz is, by any standard, completely unqualified to be the Attorney General, and yet we’re sort of focused on this, you know, cherry on the cupcake of the Ethics report.”
Gaetz’ resignation from Congress after Trump’s announcement came days ahead of a planned meeting and vote by the House Ethics Committee on whether to release a report on its investigation into Gaetz. Speaker Mike Johnson said Friday that he would “strongly request” that committee withhold the potentially damaging report.
Rep. French Hill, an Arkansas Republican who also appeared on “Face the Nation” on Sunday, said Johnson makes “an important point,” warning that “we don’t want to set a precedent where we, under any circumstances, will release documents from that committee.” But he stressed that the decision is the committee’s alone, while noting that on Trump’s selections, the Senate will exercise its advise and consent role through the confirmation process.
“President Trump has the prerogative to nominate the people that he thinks can best lead the change that he believes the American people are seeking in each of the agencies of the federal government,” Hill said.
The Arkansas Republican outlined that when Trump came to office in 2017, there were members of his Cabinet who he had no personal relationship with or working background.
“He wants to correct that this time by finding people that he has a good working relationship with. He knows how they think, they know how he thinks, because he thinks it will lead to better decision making in his administration,” Hill said.
For his part, Himes offered some praise to some of Trump’s other picks.
“I actually had a really good day when Marco Rubio was nominated for Secretary of State, when John Ratcliffe was nominated for CIA and when Mike Waltz was nominated to be national security adviser,” Ratcliffe said. “Those are good nominations, not necessarily the nominations I would have made if I were president, but these are serious people with real experience.”
Still, he cautioned Republicans in the Senate as the confirmation process plays out, saying that he understands “what happens to Republicans who stand up to Donald Trump,” but “history is a harsh judge.”
“The Republican senator who votes to confirm Matt Gaetz or Robert Kennedy or Tulsi Gabbard will be remembered by history as somebody who completely gave up their responsibility to Donald Trump,” Himes said.
Sue Gordon, who served as principal deputy director of national intelligence under Trump and also appeared on “Face the Nation” on Sunday, stressed that vetting will be critical to the process moving forward, amid a New York Times report that Trump’s team may bypass the typical FBI procedure and instead opt to use a private firm to vet his nominees who would be granted security clearances.
“It seems expedient, but I think it will ultimately harm the institution,” Gordon said, noting that a private firm won’t have the same standards. “I know it’s inconvenient, but I think it’s a bad strategy and risky for America.”
Meanwhile, the Partnership for Public Service, a nonpartisan group that assists with presidential transitions, confirmed to CBS News that the Trump team hasn’t signed paperwork that allows for security clearances and background checks, among other things, to occur. Gordon said she can’t think of a “good reason” for the Trump team to forego the transition paperwork, saying that “one of the great falsehoods that’s been perpetrated on America is that our institutions are malfeasant.”
“You’re not protecting anybody by not signing those papers, and especially some of the nominees we have that don’t have the really deep experience base,” Gordon said. “To start your gig without any foundation at all, especially when the institutions are begging to give you that foundation, just seems wrong-headed.”
CBS News
Dr. Deborah Birx says she is “excited” for data-driven discussions in RFK Jr.’s confirmation hearings
Dr. Deborah Birx, former White House Coronavirus response coordinator, said Sunday she is “excited” for the data on key health issues that will surface in Senate confirmation hearings for Robert F. Kennedy, Jr., President-elect Donald Trump’s controversial pick for Health and Human secretary who has spread false information on vaccines and autism.
“I’m actually excited that in a Senate hearing he would bring forward his data and the questions that come from the senators would bring forth their data,” Birx said on “Face the Nation with Margaret Brennan.” “What I know for sure is he’s a very smart man who can bring his data and his evidence base forward, and we can have a discussion that many Americans believe already is a problem.”
President-elect Donald Trump announced Thursday in a social media post that he’ll nominate Kennedy to oversee the Health and Human Services Department, which encompasses multiple agencies and has a $1 trillion budget. The position has to be approved by the Senate, which, come January, will be controlled by Republicans, which could make the nomination process easier but is not a guarantee.
“I am thrilled to announce Robert F. Kennedy Jr. as The United States Secretary of Health and Human Services (HHS),” Trump wrote in a social media post last week. He said Americans have been “crushed by the industrial food complex and drug companies who have engaged in deception, misinformation, and disinformation” about public health, and Kennedy would “Make America Great and Healthy Again!”
At an October rally, Trump promised to let Kennedy “go wild” on health issues.
Kennedy has criticized vaccines extensively in the past, including spreading misleading claims about their safety. He has also pledged to tackle an “epidemic” of chronic diseases and believes that large drug and food companies are to blame for a broad swath of ailments. Kennedy argues that a number of health issues in the U.S. have worsened, including autism, attention-deficit/hyperactivity disorder, sleep disorders, infertility rates, diabetes and obesity, which he blames on federal inaction.
Kennedy has insisted that he is not “anti-vaccine” and has pledged not to ban vaccines under the Trump administration. Kennedy instead promises to “restore the transparency” around vaccine safety data and records that he accuses HHS officials of hiding. This data is expected to be addressed in upcoming confirmation hearings in Congress, a dialogue that Birx said she believes Americans will benefit from learning more about the differing perspectives on concerns surrounding vaccines.
“So until we can have that transparency and that open discussion from both sides, I know the members have incredible staffers who will bring great questions from their constituents, and that hearing would be a way for Americans to really see the data that you’re talking about,” Birx said on Sunday.
Dr. Peter Marks, the FDA’s top vaccines official, said at an event hosted by the Milken Institute last week ahead of Trump’s decision that he hopes to find common ground with Kennedy and that he is also open to a conversation based on data.
“What I would ask of him is that he keep an open mind. We’re happy to try to show as much of the data as we can. And I think the data are essentially overwhelming, in certain areas, but we’ll just have to engage in the dialogue,” Marks said.
If confirmed by the Senate, Kennedy will be in charge of a giant portfolio, including the Centers for Disease Control and Prevention (CDC), the Food and Drug Administration (FDA), the National Institutes of Health (NIH) and the Centers for Medicare and Medicaid Services.
Birx said on Sunday that Kennedy, who ran for president this year but has never held public office and is already facing criticism for his qualifications, would benefit from having an experienced team around him that come from the medical industry.
“So really having a management person at his side, a chief of staff, perhaps that has really come out of industry that would know how to bring and look and bring those individuals together that are running the other agencies, because … HHS is probably one of our most complicated departments,” Birx said.