01 December 2020 by jbchevrel
Kohl's Corp. (KSS) owns and operates family-oriented department stores. It offers apparel, footwear and accessories for women, men and children; soft home products, such as sheets and pillows and house wares targeted to middle-income customers. Its stores generally carry a consistent merchandise assortment with some differences attributable to regional preferences. The company was founded in 1962 and is headquartered in Menomonee Falls, WI. KSS CDS is a constituent of CDX IG since series s10 included, and contrary to Nordstrom and Macy’s, it didn’t get relegated to CDX HY at last roll. KSS 5y CDS tightened by -17bp on the day, and its stock jumped 15%, on news that beauty brand Sephora will set up shop in its stores. KSS and LVMH’s Sephora announced a new long-term partnership that will bring 200 “Sephora at Kohl's” locations by the fall of the year 2021, and at least 850 locations by 2023. Sephora products will also be available on Kohl’s website next year. These “fully-immersive, premium beauty destinations” will be staffed with Sephora-trained salespeople and will be eligible for Sephora’s rewards program. An integrated omnichannel platform will allow Sephora customers to find products in nearby Kohl’s stores, which will be available for in-store and curbside pickup. Optimism about a Covid-19 vaccine have, on top of that LVMH news, taken KSS CDS tighter, from 300bp on November 13th to 182bp at today’s close. For reference, this CDS was 116bp before COVID (February 21st).