OTHER NEWS - Oct. 9, 1992

Carter Hawley Hale Emerges from Bankruptcy: Carter Hawley Hale Stores, the department store retail chain, has emerged from Chapter 11 status after seeking bankruptcy court protection 20 months ago. The company was bailed out by a fund headed by Chicago investor Sam Zell, who assumed about a third of the firm’s debt, $600 million, and pumped in $50 million in return for 75% ownership. The debt reduction will save $43 million a year in interest payments for the company, which hasn’t turned a profit since filing for bankruptcy. As part of its reorganization, Carter Hawley has established a three-year, $800-million credit line with General Electric Capital Corp., with long-term financing from Prudential and Bank of America. Carter Hawley Hale has 73 of its 87 Broadway, Emporium and Weinstocks department stores in California.