Charming Shoppes Buys Crosstown Traders

Charming Shoppes Inc. agreed to acquire direct marketer Crosstown Traders from J.P. Morgan Partners LLC last month for $218 million in cash.

Charming — a retail chain specializing in plus-size women's apparel — also will assume Crosstown's debt in the transaction, which is expected to close during the second quarter.

Crosstown operates 11 catalog titles selling women's clothing (including plus sizes), footwear and specialty gifts.

The company, with revenue of about $460 million last year, will continue to operate as a separate entity with headquarters in Tucson, AZ. Steven Lightman will continue as president.

Dorrit J. Bern, CEO and president of Charming Shoppes, noted that the acquisition was a key step in the company's preparation to launch a Lane Bryant catalog in October 2007, when that trademark reverts to Charming.

Crosstown's operations include several distribution centers and an 850-seat call center network. Among its apparel brands are Bedford Fair Lifestyles, Brownstone Studio, Intimate Appeal, Lew Magram, Monterey Bay Clothing Company, Old Pueblo Traders, Regalia and the Coward Shoe catalog. Figi's, headquartered in Marshfield, WI, sells food and specialty gifts.