Goody's Family Clothing to be acquired in private deal - WMC Action News 5 - Memphis, Tennessee

Goody's Family Clothing to be acquired in private deal

KNOXVILLE, Tenn. (AP) - Goody's Family Clothing officials say the company has reached an agreement in principal to be acquired by an affiliate of Sun Capital Partners.

The Knoxville, Tennessee-based regional company says it expects a definitive agreement will be executed by Saturday.

The company says Chairman and C-E-O Robert Goodfriend and members of his family, who together own about 42 percent of the company's shares, have agreed to the terms.

The moderately-priced clothier operates 368 stores in 20 states, including Arkansas.

The chain has been struggling with disappointing sales for some time.

The company says sales for the first eight months of fiscal 2005 decreased one and two-tenths percent and comparable store sales dropped six and three-tenths percent in the same time frame.

(Copyright 2005 by The Associated Press. All Rights Reserved.)

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