The move follows a price-drop test run in Q4 and comes with the addition of a “quality assurance card” from GIA for some loose diamonds.
Signet Is Done Outsourcing Its Credit Programs
It marks the end of a process that began in May 2017.
Akron, Ohio—Signet Jewelers Ltd. has completed the outsourcing of its credit programs, a process the retailer started a little over a year ago.
Signet announced Monday that it sold 70 percent of its non-prime receivables to funds managed by CarVal Investors and the remaining 30 percent to funds managed by Castlelake L.P.
In addition, CarVal and Castlelake will purchase new non-prime receivables going forward at a discount and with the same percentage breakdown, 70 percent to CarVal and 30 percent to Castlelake.
Signet, which has had problems at the store level with the outsourcing of credit programs previously, said the sale of its non-prime receivables will not impact any customer or store-facing systems.
The jeweler began getting its credit programs off its books in May 2017 after speculation arose regarding both the retailer’s method of accounting for past-due accounts and the amount of risk it was assuming in its credit program. In February 2016, Bloomberg published a story quoting critics of the jewelry retailer titled “Is Signet a Sparkly Empire or a Finance Company?” (subscription required to read).
Signet started by selling $1 billion in prime credit accounts to Alliance Data System Corp.
It inked a seven-year deal with the company, which already was handling the credit programs for the stores under the Zale umbrella, to become its primary provider of credit funding and servicing for customers of Kay Jewelers, Jared the Galleria of Jewelry and its regional brands.
In addition, the retailer signed a seven-year deal with Progressive Leasing, a subsidiary of lease-to-own retailer Aaron’s Inc., that allows customers who don’t quality for any sort of credit to do a lease-purchase on jewelry.
Signet, which is now under the leadership of Gina Drosos, is in the midst of executing a turnaround plan it calls the “Path to Brilliance.” It focuses on putting customers first, building a robust omnichannel structure and creating a culture that is more agile and efficient.
The Latest
The site has been down since Thursday evening, just ahead of its spring auctions.
The late former U.S. Secretary’s collection went for quadruple the sale’s pre-sale estimate.
Despite the rising prices, consumers continue to seek out the precious metal.
Three fifth graders’ winning designs were turned into custom jewelry pieces in time for Mother’s Day.
Kimberly Adams Russell is taking over the role from her father, David Adams, marking the third generation to hold the title.
As a token of womanhood, this necklace depicts when Venus was born from the sea.
Tradeshow risks are real. Get tips to protect yourself before, during and after and gain safety and security awareness for your business.
Show your mother some love with a piece of fine jewelry.
The company’s Easton location will remain open.
Sponsored by the Las Vegas Antique Jewelry and Watch Show
Tobak, author of “Ice Cold: A Hip-Hop Jewelry History,” shares how the exhibition came to be, and the pieces people may be surprised to see.
Stars adorned themselves in emeralds, platinum, and myriad bird motifs, writes Associate Editor Natalie Francisco.
M.S. Rau is set to open a seasonal gallery in the high-end resort town early next month.
The branded jewelry market is thriving, said Richemont Chairman Johann Rupert.
The six designers, all participants in the show’s Diversity Action Council mentorship program, will exhibit in Salon 634.
The highlight of his collection is the coveted Patek Philippe Grandmaster Chime, which could sell for up to $5 million.
The “Venetian Link” series modernizes the classic Veneziana box chain in its bracelets and necklaces.
The Seymour & Evelyn Holtzman Bench Scholarship will provide tuition assistance to two low-income students.
The Swiss watchmaker said the company’s plans to use a new version of the Hallmark crown on jewelry would confuse consumers.
The executive talked about the importance of self-purchasers and how fuel cell electric vehicles are going to fuel demand for platinum.
The Indian jeweler’s new store in Naperville, Illinois marks its 350th location, part of its ongoing global expansion plans.
It will award a graduating high school student with about $10,000 toward a GIA diploma and an internship with the Seattle-based jeweler.
Wheat Ridge, Colorado police took a 50-year-old man into custody Wednesday following a two-month search.
PGI partnered with four new and seven returning designers for its annual platinum capsule collection.
Nicolosi, president and CEO of The Kingswood Company, previously sat on WJA’s board from 2011 to 2018.
Karina Brez’s race-ready piece is a sophisticated nod to the horse-rider relationship.