CEO Roland Smith will retire and Troy Rice will oversee e-commerce as Office Depot’s new chief operating officer.
Dreams Inc., which had failed to meet some provisions of its bank lending agreement, says it has reached agreement with Comerica Bank for a credit line of $21 million through June 2010. That will help Dreams to continue operating, the company says.
Dreams Inc., which sells licensed sports apparel at FansEdge.com and other sites and through stores, has reached an agreement with its senior lender, Comerica Bank, for the continued funding of its operations with a nearly $21 million line of credit through June 2010.
Dreams previously had disclosed it had failed last year to meet some performance provisions of its financing agreement with Comerica. With this extension, the company says, it returns to being in good standing with the bank and has had its 2009 business plan approved and funded.
“This will allow us to re-focus on executing our plan, having put our proverbial financial house back in order,” says Ross Tannenbaum, president and CEO of Dreams, No. 217 in the Internet Retailer Top 500 Guide.
Dreams reported in the first quarter of this year a 15% decline in e-commerce revenue, which accounts for more than 70% of the company’s retail sales. The company’s total revenue, which includes manufacturing and distribution income, declined 20% in Q1. For all of 2008, the company’s e-commerce sales grew 19.6% to $46.9 million, while total revenue grew 10.8% to $82.2 million.