Kellwood Company has received an unsolicited letter
from Sun Capital Securities Group, LLC, indicating the group's interest
in pursuing an acquisition of all of Kellwood's outstanding shares at a
price of $21 in cash per share. The Sun Capital proposal, contained in
a letter dated September 18, 2007, is subject to a number of
conditions, including completion of due diligence.
Kellwood is the parent company to American
Recreational Products, Inc., which inludes the Kelty and Sierra Designs
brands, amongst others. In mid-July, the company completed its
acquisition of Royal Robbins from Phoenix Footwear for approximately
$40 million.
The company's Board of Directors will carefully
evaluate the Sun Capital proposal, and other alternatives available to
the company, taking into account the potential benefits that may be
realized through the company's previously announced long-term strategic
plan.
