Fairweather buying Les Ailes de la Mode stores
Last Updated: Tuesday, August 9, 2005 | 4:08 PM ET
CBC News
The Quebec company (TSX:MOD) put the four stores – a Montreal flagship location and Quebec outlets in Brossard, Laval and Sainte-Foy – up for sale last month.
"On its own, the Les Ailes department stores would have required significant capital investments to remain viable in the long term," said David Margolis, who announced his resignation as CEO and president of Groupe Les Ailes.
"As part of the Fairweather Group, it will now benefit from the scale, purchasing power and relationships as well as the synergies that a large retailer can bring," he said.
Margolis's interim replacement as CEO of Groupe Les Ailes will be Leslie Glazerman, who will also keep his current job of interim chief financial officer.
Isaac Benitah, the president and CEO of Fairweather, said the Les Ailes' $75 million in revenues and 630 employees give it "a solid foundation from which we can build by leveraging the significant assets and resources of the group and further improve the profitability of the stores."
Groupe Les Ailes de la Mode still operates a swimwear division with 59 swimwear boutiques in Quebec and Ontario under the Bikini Village and Ocean Bikini Village banners.
Shares of Les Ailes were unchanged at 33 cents on the TSX.
Headquartered in Toronto, Fairweather has stores in every Canadian province except Prince Edward Island.
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