Mrs. Fields: Another Cookie Crumbles

Posted by: Stacy Perman on August 18, 2008

mrs. fields.jpg Reuters reports that Mrs. Fields, the ubiquitous mall friendly cookie franchiser launched by a Utah housewife, Debbi Fields in 1977, planned to file for Chapter 11 bankruptcy protection in order to help restructure its business. The company, with 1,200 licensed and franchised Mrs. Fields Cookies and TCBY frozen yogurt locations around the world, had about $196 million in publicly traded debt. According to a regulatory filing the company said it would not have been able to make an interest payment due in September and by last Wednesday it had brokered a deal with Capricorn Investors III LP concerning a number of financial terms and timelines under its investment agreement.
According to the Reuters report, Mrs. Fields, has suffered from high gas prices like many but had been struggling for the past year having already sold its Pretzel Time, Pretzelmaker, and Great American Cookie brands to NexCen Brands Inc. in a deal worth more than $100 million in cash and stock.

Reader Comments

Bob

August 19, 2008 12:49 PM

It's NexCen brands, not NexGen.

Mike C

August 20, 2008 1:02 AM

It looks like Nexcen (the buyer of Pretzel Time, Pretzelmaker, and Great American Cookie)is also struggling. Their stock is at $0.43. Will they be the next to fall?

Kev

February 11, 2009 3:25 PM

"Utah housewife"? That must be why she attended school in Oakland and then opened her first store in Palo Alto, California, hmm?

Andy

February 23, 2009 3:03 PM

As a consumer I see two things wrong with Mrs. Fields. First, I would expect a store that is so specialized (maybe they shoud not be) to produce the best cookies. The cookies are good, but I am sure most people have had better. Second, their prepackaged cookies sold in stores are absolute garbage. They taste like cardboard with a bit of a chemical aftertaste.

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