Eddie Bauer's sale to Golden Gate approved

Bellevue-based retailer Eddie Bauer received bankruptcy court approval today to sell its assets to San Francisco private-equity firm Golden Gate Capital for $286 million.

Golden Gate will take Eddie Bauer private and continue to operate it as a multichannel retailer, selling online as well as in stores throughout the U.S. and Canada. People involved with the process say Golden Gate will keep open 300 of Eddie Bauer's 370 stores.

Eddie Bauer said Golden Gate has "indicated its support for Eddie Bauer's management team." That suggests Chief Executive Neil Fiske, who took over the outdoor-clothing chain two years ago after leading a turnaround of Bath & Body Works, will remain at the helm.

Golden Gate has not yet released a statement, and a call to its publicist was not immediately returned this morning.

The sale is expected to become final in early August and will "enable Eddie Bauer to emerge quickly from bankruptcy as a new company positioned for success, with a well-capitalized partner, a substantially lower cost structure, little or no long-term debt and a much stronger balance sheet," the retailer said.

Eddie Bauer filed for Chapter 11 bankruptcy court protection last month in Delaware, citing a crushing debt burden and the impact of the recession.

At an auction last week, Golden Gate was one of three bidders bidding to operate Eddie Bauer, along with New York private-equity investor CCMP Capital and Iconix Brands, a New York-based owner of the Rocawear clothing label. Boston-based liquidator Gordon Brothers Group and large apparel company VF, which owns the North Face brand, also expressed interest in Eddie Bauer.

Amy Martinez: 206-464-2923 or amartinez@seattletimes.com