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Reitmans Ord Shs V.RET

Alternate Symbol(s):  RTMNF | RTMAF | V.RET.A

Reitmans (Canada) Limited is a Canada-based specialty apparel retailer for women and men, with retail outlets throughout the country. The principal business activity of the Company is the sale of women’s wear. The Company operates three different brands: Reitmans, Penningtons and RW&CO. The Reitmans banner is a specialty fashion destination. The Reitmans has an online presence and store locations across the country. Penningtons is a destination for plus-size fashion, ranging from sizes 14 to 32. Penningtons operates stores across Canada, as well as an ecommerce site at penningtons.com. RW&CO. operates stores averaging 4,500 square feet in premium locations in shopping malls, as well as on their e-commerce site. Specializing in menswear and womenswear, the brand delivers versatile, well-crafted collections and brand experiences. It operates approximately 391 stores under three distinct banners consisting of 226 Reitmans, 85 Pennington, and 80 RW&CO.


TSXV:RET - Post by User

Comment by Mephistopheles3on Jun 22, 2022 11:31am
110 Views
Post# 34774115

RE:RE:RE:RE:Q1 results

RE:RE:RE:RE:Q1 resultsAll banking agreements have restrictions on buybacks / dividends.  I actually have a large corporate agreement with the BMO group in Montreal, so I know the bankers who are dealing with RET.  Distributions are typically defined as both dividends & share buybacks and you are always restricted in making distributions if they result in a breach of covenants. 

Normally covenants include maintaining a level of EBITDA ratio - so you have to be careful when adding in buybacks that you don't breach. 

I don't think buybacks are happening for a little while - they need to work on their cash flow situation and their EBITDA numbers.  

However I will agree with you that management / BoD here are crazy to not buy at these numbers.  My position is bigger than 80% of the BoD combined which is insane.  I don't understand why our CFO friend or BoD invest in the company.  
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