0000025354-12-000015.txt : 20120409 0000025354-12-000015.hdr.sgml : 20120409 20120409171820 ACCESSION NUMBER: 0000025354-12-000015 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20120409 ITEM INFORMATION: Cost Associated with Exit or Disposal Activities FILED AS OF DATE: 20120409 DATE AS OF CHANGE: 20120409 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CPI CORP CENTRAL INDEX KEY: 0000025354 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-PERSONAL SERVICES [7200] IRS NUMBER: 431256674 STATE OF INCORPORATION: DE FISCAL YEAR END: 0202 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-10204 FILM NUMBER: 12750238 BUSINESS ADDRESS: STREET 1: 1706 WASHINGTON AVE CITY: ST LOUIS STATE: MO ZIP: 63103-1790 BUSINESS PHONE: 3142311575 MAIL ADDRESS: STREET 1: 1706 WASHINGTON AVE CITY: ST LOUIS STATE: MO ZIP: 63103 8-K 1 a8-konkkpsstudioclosuresq1.htm Q1 2012 KKPS STUDIO CLOSURES 8-K on KKPS Studio Closures Q1 2012


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported): April 9, 2012
CPI CORP.
(Exact Name of Registrant as Specified in its Charter)
 
Delaware
(State or Other Jurisdiction of Incorporation)
 
1-10204
43-1256674
(Commission File Number)
(I.R.S. Employer Identification No.)
 
 
 
1706 Washington Ave., St. Louis, Missouri
63103
(Address of Principal Executive Offices)
(Zip Code)
 
 
 
(314) 231-1575
(Registrant's Telephone Number, Including Area Code)
 
 
 
Not Applicable
(Former Name or Former Address, if Changed Since Last Report.)
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d- (b))
¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))



















Item 2.05.    Costs Associated with Exit or Disposal Activities.

On April 3, 2012, CPI Corp. (the "Company") approved a plan to close 124 underperforming Kiddie Kandids Portrait Studio locations in Babies "R" Us stores throughout the United States. The Company will continue to operate its remaining 2,584 studios located in Walmart, Sears and Babies "R" Us stores. Of the 124 studio closures, the decision to close 22 of the locations is the result of an in-depth analysis by the Company of its portfolio in an effort to focus resources in a manner that will generate the greatest long-term shareholder value. The closure of the remaining 102 studio locations is the result of certain minimum sales requirements not being met as stipulated by the host agreement with Toys "R" Us - Delaware, Inc. The Company expects to close these studio locations by approximately April 21, 2012. Company employees were notified of the studio closures today.

The Company expects to recognize total exit costs related to the studio closures of approximately $700,000, including cash charges associated with lease obligations and employee terminations in its first quarter of 2012. Future cash outflows associated with these charges are not expected to be significant subsequent to the first quarter of 2012.
















































SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 
 
CPI CORP.
 
 
 
 
 
 
 
 
 
 
By:
/s/ Dale Heins
 
 
Dale Heins
 
 
Executive Vice President, Finance
 
 
Chief Financial Officer and Treasurer
 
 
(Principal Financial Officer)


April 9, 2012