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Nordstrom family offers $3.76 billion bid to take century-old department store private

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Members of the Nordstrom family with the help of a Mexican retail group are offering to take the century-old department store private for $3.76 billion, months after first expressing interest in a buyout.

In a letter to the board of directors dated Tuesday, Erik Nordstrom said the Nordstrom family members own about 33.4% of the company’s outstanding common stock and is willing to pay investors $23 for each share they own.

The Mexican retail group, called El Puerto de Liverpool, operates more than 300 stores in Mexico and is that nation’s third-largest credit card issuer with over 7.2 million active accounts. It already owns approximately 9.6% of Nordstrom stock.

The offer represents a premium of nearly 35% to Nordstrom’s stock since March 18 when media reports about the proposed transaction first emerged, shares have rallied this year and traded for just above $23 on Wednesday.


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“That the Nordstrom family have made an offer to buy the department store chain comes as no surprise. What is interesting is the $23 a share value which is pretty much the current price of the stock, said Neil Saunders, managing director of GlobalData. “The lack of any real premium would, under normal circumstances, make the offer unattractive. However, as a family-run firm the dynamics are slightly different, and it will be up to an independent committee to determine whether this is in the best interests of the company and its investors.”

Nordstrom last month reported sales growth of 3.4% in the second quarter, as sales in stores open at least a year — a key metric of a retailer’s health — rose 1.9%. But net income slipped nearly 11% to $122 million. Adjusted earnings per share totaled 96 cents, and overall results beat analyst estimates. Besides its namesake upscale stores, the company also operates discount Nordstrom Rack stores, which have become a strength.

Sales at Nordstrom Rack jumped 8.8% in the most recent quarter and its comparable sales rose 4.1%.

“The offer comes at a time when Nordstrom is getting back on track after a long period of poor performance,” Saunders said. “However, the business remains one of two halves. The department store division has various structural challenges, while the off-price Rack division is starting to produce some good growth. This mixed outlook will limit the amount any party is willing to pay.”

Erik B. and Peter E. Nordstrom are the fourth-generation leaders of the retailer, which was founded in 1901 as a shoe store. Erik is the company’s chief executive and Peter is president. In the regulatory filing the family cited the health of their late father Bruce Nordstrom as one impetus behind the proposed transaction. Former chairman Bruce Nordstrom died in May at 90 years old.

The Nordstroms and their partner say they have commitments for $250 million in new bank financing.

Nordstrom, based in Seattle, acknowledged receipt of the proposal and a special committee of the board of directors — which it had already formed in April — will evaluate the offer.

Shares of Nordstrom, up 27% this year, edged slightly higher to $23.16 Wednesday.



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JD Vance echoes Trump, blames Democrats for apparent assassination attempt

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JD Vance echoes Trump, blames Democrats for apparent assassination attempt – CBS News


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Former President Donald Trump held a town hall in Michigan while Vice President Kamala Harris spoke to the National Association of Black Journalists in Philadelphia Tuesday. Trump and his running mate, Sen. JD Vance, blamed Democrats’ “rhetoric” for a second apparent assassination attempt in Florida. CBS News senior White House and political correspondent Ed O’Keefe has the latest.

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9/17: The Daily Report with John Dickerson

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9/17: The Daily Report with John Dickerson – CBS News


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John Dickerson reports on the growing investigations into the apparent attempted assassination of former President Trump, new settings on Instagram designed to protect teenage users, and what’s at the center of energy in Pennsylvania beyond fracking.

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Paul Whelan, freed in prisoner swap with Russia, tells other American detainees: “We’re coming for you”

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Washington — Nearly seven weeks after the Russians handed over Paul Whelan on a tarmac in Ankara, Turkey, the Marine veteran stood on the steps of the U.S. Capitol with a message for other Americans who are held abroad. 

“We’re coming for you,” he told reporters Tuesday night after he met with lawmakers. “It might take time, but we’re coming.” 

Whelan said he spoke with lawmakers about how the government can better support detainees after they’re released. 

“We spoke about how the next person’s experience could be better,” he said. “What the government could do for the next person that’s held hostage and comes home — the care and support that other people might need, especially people that are in a worse situation. There are people coming back that lived in the dirt without shoes for three years, people that were locked up in hideous conditions for 20 years. They need support.” 

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Rep. Haley Stevens, a Michigan Democrat, with Paul Whelan at the U.S. Capitol on Sept. 17, 2024. 

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The U.S. secured Whelan’s release in August in one of the largest prisoner swaps since the end of the Cold War. The complex deal came after months of sensitive negotiations between the U.S., Russia, Germany, Slovenia, Poland and Norway. 

As part of the deal, Russia released 16 prisoners while the Western countries released eight Russians. Whelan was released alongside Wall Street Journal reporter Evan Gershkovich, Russian-American radio journalist Alsu Kurmasheva and Vladimir Kara-Murza, a U.S. green card holder and Kremlin critic. 

Whelan, who had been the longest-held American detainee in Russia, was arrested in December 2018 when he traveled to the country to attend a friend’s wedding. He was convicted of espionage in a secret trial and sentenced to 16 years in prison in 2020. 

Whelan, his family and the U.S. government vehemently denied that he was a spy and accused Russia of using him as a political pawn. The U.S. government considered him to be wrongfully detained, a rare designation that put more government resources toward securing his release. 

But a deal to secure his freedom was long elusive. He remained behind bars as Russia freed Marine veteran Trevor Reed and women’s basketball star Brittney Griner — both of whom were detained after Whelan’s arrest — in prisoner swaps with the U.S. 

The U.S. said it pushed for his inclusion in both exchanges, but Russia refused. It led to Whelan advocating for his own release from a remote prison camp, calling government officials and journalists to make sure that he wasn’t forgotten. 

When the plane carrying Whelan, Gershkovish and Kurmasheva landed in Maryland on Aug. 1, Whelan was the first to disembark. He was greeted by President Biden, who gave Whelan his American flag pin, and Vice President Kamala Harris. 

“Whether he likes it or not, he changed the world,” Rep. Haley Stevens, a Michigan Democrat, told reporters Tuesday. 

Whelan’s case and his family’s constant pressure on the U.S. government brought more attention to the cases of Americans who are wrongfully detained by foreign governments. 

Haley said Whelan is a reminder to other Americans considering traveling to Russia that “you have a target on your back.” 

Whelan said it’s been an adjustment acclimating to life back in the U.S., especially learning the latest technology like his iPhone 15. 

“I was in a really remote part of Russia,” he said. “We really didn’t have much. The conditions were poor. The Russians said the poor conditions were part of the punishment. And coming back to see this sort of thing now is a bit of a shock, but it’s a good shock.” 



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