By Phil Wahba

(Reuters) – Ralph Lauren Corp (RL.N: Quote, Profile, Research, Stock Buzz) reported a higher-than-expected quarterly profit on Tuesday, helped by soaring sales, but said it expected the pace of revenue growth to slow, in part because of Europe’s economic problems.

The clothing company, which sells mid-tier basics to high-end luxury labels, forecast a “mid-single digit” percentage increase in revenue for its fiscal year, which began April 1. That compares with a 20 percent rise last year.

By Phil Wahba

(Reuters) – U.S. retailers believe this life left in their brick-and-mortar stores and they’re trying new ways of making them more inviting by pampering customers – both the two- and four-legged kinds.

PetSmart Inc (PETM.O: Quote, Profile, Research, Stock Buzz), for instance, will offer overnight dog accommodations at more stores. Macy’s Inc (M.N: Quote, Profile, Research, Stock Buzz) is offering a “virtual concierge” kiosk, and handbag maker Coach Inc (COH.N: Quote, Profile, Research, Stock Buzz) is opening up dozens more men’s sections this year.

NEW YORK, May 18 (Reuters) – The price for staking ground on
Manhattan’s Fifth Avenue jumped 22 percent in the past year,
spurred by a record number of tourists spending their dollars at
top U.S. and international retailers on America’s most coveted
shopping ground.

The asking rent for street-level stores on Fifth Avenue
between 50th and 59th streets rose to $2,750 per square foot
this spring, the Real Estate Board of New York said in a report
released Friday.

By Phil Wahba

(Reuters) – Sears Holdings Corp (SHLD.O: Quote, Profile, Research, Stock Buzz) said on Thursday it will spin off a large part of its stake in its Canadian unit, which Chairman Edward Lampert had spent years trying to gain control of, to better focus on its U.S. business.

Separately, Sears Holdings reported a first-quarter adjusted operating loss that was significantly better than the loss analysts had estimated, though revenues fell from a year ago.

May 16 (Reuters) – Beauty company Coty Inc has picked its
lead underwriters for a planned initial public offering this
fall, two days after it pulled a $10.7 billion unsolicited
offer to buy Avon Products Inc, a person familiar with
the matter told Reuters.

The fragrance maker, founded in Paris in 1904 by François
Coty, has selected Bank of America Merrill Lynch and
JPMorgan Chase & Co to lead the IPO, the source said.

NEW YORK (Reuters) – J.C. Penney Co Inc’s early effort to remake itself as an affordable fashion-oriented retail chain and wean consumers off discount coupons took a much bigger-than-expected toll on sales in the first quarter.

The department store owner also surprised investors by ending its dividend to help fund a multi-year overhaul under new Chief Executive Ron Johnson, who was credited with helping to build Apple Inc’s much-envied retail stores. Penney’s shares fell 12.7 percent to $29.10 in late trade on Tuesday.

NEW YORK (Reuters) – J.C. Penney Co Inc’s attempt to remake itself as fashion-oriented chain and wean costumers off of coupons took a bigger toll on sales than expected in the first quarter.

The retailer also surprised Wall Street by discontinuing its dividend to help fund its overhaul.

By Phil Wahba

(Reuters) – Avon Products Inc’s (AVP.N: Quote, Profile, Research, Stock Buzz) loss of a $10.7 billion takeover bid from smaller cosmetics rival Coty Inc leaves shareholders hoping that new Chief Executive Sherilyn McCoy has a great turnaround plan in the works.

Coty withdrew the $24.75 a share offer Monday night and the stock fell more than 10 percent on Tuesday as investors were left to focus on Avon’s blemishes, which include falling sales, rising labor costs in important international markets like Brazil and a shrinking army of sales representatives.

By Phil Wahba

(Reuters) – Fragrance company Coty Inc withdrew its $10.7 billion takeover bid for Avon Products Inc on Monday evening, saying the world’s largest cosmetics direct seller had missed a deadline to start discussing a deal that Coty first proposed in March.

The move leaves Avon shareholders relying on new Chief Executive Sheri McCoy to come up with a plan to turn around a company that has been suffering from plummeting profits on falling sales at home and in some international markets, as well as a stock price that had been hammered prior to Coty’s bid.

By Phil Wahba

(Reuters) – Avon Products Inc (AVP.N: Quote, Profile, Research, Stock Buzz) on Sunday said it told Coty Inc COTY.UL that it would consider the smaller company’s $10.7 billion takeover bid and it expected to respond within a week.

In a letter to Avon’s board dated May 9, Coty said it was raising its offer from an earlier $10 billion bid and gave Avon a deadline of the close of business on Monday, May 14, to enter into talks or it would withdraw its offer.