Pursuits
Bonds of Apollo-Backed Claire's Plunge After Earnings Miss
- The retailer's 9% bonds fall to 71 cents on the dollar
- The company has struggled to remain profitable since 2007 LBO
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Bonds of Claire’s Stores Inc. plummeted after the Apollo Global Management LLC-owned teen-jewelry retailer reported a drop in third-quarter earnings.
The company’s $1.125 billion of 9 percent bonds due 2019 fell about 5 cents Tuesday to about 71 cents on the dollar, tumbling from as high as 99.25 cents in January, according to Trace, the bond-price reporting system of the Financial Industry Regulatory Authority. Citigroup Inc. said in a note Tuesday that earnings were below estimates and fell in part because of contracting margins.