Lord & Taylor LLC (New York) has received a $60 million cash injection from parent company NRDC Equity Partners LLC (Purchase, N.Y.).
According to the New York Post, NRDC has also given a $70 million cash infusion to its other retail property, Hudson’s Bay Co. (Toronto).
NRDC recently paid down $280 million in debt for Lord & Taylor. And the New York luxury store has renegotiated its loans to reduce its annual interest expense by $70 million, the Post reported.
Lord & Taylor's cash infusion comes on the heels of several tense weeks between the retailer and its business partners, sources told the Post. Some big commercial lenders had clamped down on credit for apparel deliveries to Lord & Taylor stores, demanding collateral to keep goods flowing. The cash injection is expected to ease lender worries. But, said the Post, there’s speculation that Lord & Taylor will soon announce cost-cutting measures, including a fresh round of layoffs.