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Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?

To: Rande Is who wrote (7160)	5/19/1999 1:01:00 PM
From: Rande Is	Read Replies (1) \| Respond to of 57584

The Limited [LTD]. . . I had a wonderful presentation all complete, but it got sucked up by a Netscape crash. . .newest version not NEARLY as stable as older version. . . thinking of reverting. . .perhaps we should short NSCP too? <g> Anyway. . . I'll try to give the brief version, since I hate repeating myself. . . LTD owns a big portion of both ANF and IBI. So what? Well, all three are doing quite well and earnings are improving based partly on internet E-commerce sales. So who are these companies? LTD is the Limited. . remember the women's store in the malls? limited.com Here is their latest quarterly report released earlier this week: biz.yahoo.com They also own Abercrombie and Fitch [ANF] that just reported a 92 percent increase in earnings and a 2-for -1 stock split. LTD is buying back 15 mil shares in a self-tendered offer until June 1 at between 50 and 55 per share. . .now I have never done a "Dutch Auction" so I don't know how it works. . perhaps someone can call company for explanation and pass along. . . but considering stock sells in 40's it's hard to imagine how one could lose. The Limited, Inc.'s Board of Directors has authorized the repurchase of up to 15 million shares of its common stock. Neither Mr. Wexner nor his affiliates will participate. The repurchase will be made through a ''Dutch Auction'' tender offer in which The Limited, Inc.'s shareholders will be given the opportunity to sell a portion or all of their shares to the Company at a price of not less than $50 per share, and not more than $55 per share. The offer to purchase shares will commence on May 4,1999 and will expire at 12:00 midnight, New York City time on June 1, 1999, unless extended by the Company. If the number of shares tendered is greater than the number sought, the Company will select the lowest price within the stated range that will allow it to buy 15 million shares, with purchases to be made on a pro rata basis from shareholders tendering at or below the purchase price. There is a ton of info in this article: biz.yahoo.com LTD plans on spinning off Limited, Too which is competition to Delia's. . perhaps they will do an Iturf sort of thing as well. . I don't know. The Limited, Inc., through Express, Lerner New York, Lane Bryant, Limited Stores, Structure, Limited Too, Galyan's and Henri Bendel, presently operates 3,408 specialty stores. The Company also owns approximately 84% of Intimate Brands, Inc. (NYSE: IBI - news), the leading specialty retailer of intimate apparel, beauty and personal care products through the Victoria's Secret and Bath & Body Works brands. Victoria's Secret products are available through 849 lingerie and beauty stores, the Victoria's Secret Catalogue and online at www.VictoriasSecret.com. Bath and Body Works products are available in 1,101 stores. A retailer with strong E-commerce ties and nice growth, LTD is a sort of retail mutual fund, with the number of name brands in its fold. I think it could get more attention. As a trade. . . if not playing the buyback spread. . could drop afterward [June 1] on complacency post news and earnings. . .this is long term and will no doubt shift in different ways over time. . .but is important enough to take a look at and add to our watch. Rande Is