Shareholders urge Perry Ellis to explore strategic options

Apparel retailer Perry Ellis International Inc's shareholders, Legion Partners LLC and the California State Teachers’ Retirement System (CalSTRS), have urged the company to explore strategic alternatives.

The shareholders, which together own 6.3 percent of Perry Ellis' stock, said the control the family of Chief Executive George Feldenkreis wields over the company was one of the root causes of its underperformance.

Feldenkreis owns 10.73 percent of the company while his son Oscar owns another 6.72 percent, as of April 30.

Legion Partners said it released the letter, sent on Oct. 16, as the Perry Ellis board refused to form a special committee.

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Doral, Florida-based Perry Ellis reported a second-quarter net loss of $1.6 million, or 11 cents per share, on revenue of $203.5 million.

The company, which has posted a loss in four of the five straight quarters, was not immediately available to comment.

Perry Ellis, whose portfolio of brands includes Jantzen, Laundry, C&C California and Original Penguin, will report third-quarter earnings on Thursday.

Legion Partners holds about 5.89 percent stake in Perry Ellis as of July 15.

Perry Ellis' shares closed at $23.44 on the Nasdaq on Tuesday.