More Barneys, Different Barneys or No Barneys?

Barneys New York Inc. (New York) announced that it has retained two investment banking firms as financial advisors to explore certain strategic alternatives, including either an investment by a third party, the sale of the company or expansion into new markets.

Since emerging from bankruptcy protection in 1999, the 21-store fashion retailer has been under the majority ownership of two turnaround investors, Whippoorwill Associates Inc. (White Plains, N.Y.) and Bay Harbour Management L.C. (Orlando, Fla.). In 2003, Barneys achieved record sales.

“We have been extremely pleased with the company’s results for the past two years and believe that the company is well poised for future growth,” said chairman, president and ceo Howard Socol. “While the company continues to engage in the expansion of its CO-OP concept and a number of other expansion projects, we believe there is even greater potential for the opening of Barneys New York flagship stores in selected markets. A transaction of the type being explored, if consummated, would enable us to realize the potential for even greater growth.”