Today's Man ready to grow

Discount Store News, Feb 9, 1998 by Mike Duff

PHILADELPHIA -- Today's Man, having just emerged from 23 months in Chapter 11, is already envisioning a future that includes new stores in its core markets and a growth strategy built around securing market dominance.

In a celebratory atmosphere at a North Philadelphia store 11 days ago, chairman and ceo David Feld took the opportunity to thank associates who stuck with the chain and to assure them that "the future will be greater than the past." All efforts now, he said, are aimed at consolidating the chain's position as "the dominant retailer in the markets we serve."

Feld told the gathering that "we will start very, very early to grow again. And we're probably going to be adding a lot of stores in existing markets."

Today's Man's 25 stores are situated in the heart of the East Coast. The chain stretches form Connecticut to Virginia, and Feld said the company is targeting the following markets:

* New York, where Today's Man is looking to add 10 stores. Yonkers, Long Island's North Shore and New York's outer boroughs are being scrutinized for good locations. Today's Man already has outlets in Manhattan, Westchester Country and Long Island, where units are concentrated along the South Shore;

* New Jersey, where the company has identified the northern New York suburbs as underpenetrated, and the southern region, which stretches from Philadelphia to the Atlantic City vicinity, as rapidly growing and an emerging opportunity;

* Maryland, where the company plans to add several stores;

* Virginia, a market that Feld characterized as understored and worthy of multiple new locations.

In the near term, the actual pace of growth will be moderate, with the company expecting to add four to six stores over the next two years. Feld told DSN that Today's Man's growth strategy was revised during the Chapter 11 period to reflect lessons learned about expanding too far too quickly.

"We still feel we can compete on a national basis," he said, "but we want to put a little muscle on the bone before we head out of our core marketplace." The company's immediate goal is to develop a preeminent presence where it is currently established and where consumers recognize the chain and its attributes.

"When I hear there's a buzz about Today's Man, that's the greatest thing a company can have. If we want to be the dominant chain, we have to go to the dominant amount of people. That's a big undertaking. But in the markets that we serve, that's our goal, to have the biggest share of the men's tailored clothing business. To get that, you have to have more locations in some places," said Feld.

Feld contends that the chain's financial position remains strong. "January was a very successful month for us. We achieved the financial plans we set forth and that achievement is why this company has reorganized, i.e., the tremendous effort that we made in profitability. We had a very good year and are looking for a better year next year."

For the third quarter ended Nov. 1, the company reported a net income of $939,800, or $.09 per share, vs. a net loss of $750,000, or $.07, per share in the year-earlier period. The company officially emerged from bankruptcy protection on Dec. 31.