| Coldwater Creek Inc. | |||
| Ticker: | CWTR | One Coldwater Creek Drive | |
| Exchange: | NASDAQ-National Market | Sandpoint, ID 83864 | |
| Industry: | Retail (SIC Code 5961) | (208) 263-2266 | |
| Type of Shares: | Common Shares | Filing Date: | 11/22/96 | |
| U.S. Shares: | 2,500,000 | Offer Date: | 1/28/97 | |
| Non-U.S. Shares: | 0 | Filing Range: | $13.00 - $15.00 | |
| Primary Shares: | 2,500,000 | Offer Price: | $15.00 | |
| Secondary Shares: | 0 | Gross Spread: | $1.05 | |
| Offering Amount: | $35,000,000 | Selling: | $0.58 | |
| Expenses: | $1,000,000 | Reallowance: | $0.10 | |
| Shares Out After: | - |
| Manager | Tier | Phone |
| Montgomery Securities | Lead Manager | (415) 627-2100 |
| William Blair & Company | Co-manager | (312) 364-8990 |
| Issuer's Law Firm: | Brobeck, Phleger & Harrison |
| Bank's Law Firm: | Fried, Frank, Harris, Shriver & Jacobson |
Dollar amounts in U.S. millions except for per share data | |||||
| 6 Month Ending Financials | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Unaudited Income | Balance Sheet | ||
| 3/2/96 | 8/31/96 | 9/2/95 | 8/31/96 | ||
| Revenue: | $75.91 | $39.38 | $16.15 | Assets: | $39.03 |
| Net Income: | $3.37 | $0.76 | -$0.98 | Curr Assets: | |
| EPS: | Liabilities: | $25.24 | |||
| Prior EPS: | Curr Liabilities: | ||||
| Cash Flow/Oper: | Equity: | $13.80 | |||
| Cash Flow/Fin: | Cash: | ||||
| Cash Flow/Inv: | |||||
| Business Description |
| The company is a specialty direct mail retailer of apparel, gifts and jewelry. the company currently markets its merchandise primarily through a family of four distinctive catalogs. Coldwater Creek targets well-educated, middle-to upper-income households and seeks to differentiate itself from other retail and catalog operations by offering exceptional value through superior customer service and a merchandise assortment that reflects a casual, uniquely American spirit. the company believes that the successful execution of its marketing and merchandising strategies coupled with its high customer service standards and efficient order entry and fulfillment operations has allowed it to develop a unique brand identity and strong relationships with its loyal customer base. |
| Competition |
| The markets for the company's merchandise are highly competitive, and the recent growth in these markets has encouraged the entry of many new competitors as well as increased competition from established companies. Although the company believes that it does not compete directly with any single company with respect to its entire range of merchandise, within each merchandise category the company has significant competitors and may face new competition from new entrants or existing competitors who focus on market segments currently served by the company. |
| Business Plan |
| The company's objective is to become the highest quality service provider in the consumer catalog industry. The key elements of the company's business strategy are set forth below: 1) provide superior catalog buying experience through exceptional customer service; 2) offer a high quality, differentiated merchandise assortment; 3) promote increase household purchasing; 4) continue investment in infrastructure; 5) advance the coldwater creek brand. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used to fund a distribution of approximately $12.8 million in S corporation earnings, repay certain indebtedness, fund capital expenditures related to the expansion of the company's operations and for working capital and other general corporate purposes. |