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: October 20, 1998
Date of Earliest Event Reported: October 15, 1998
TANDYCRAFTS, INC.
A DELAWARE CORPORATION
1-7258 75-1475224
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(Commission File Number) (IRS Employer Identification No.)
1400 Everman Parkway
Fort Worth, Texas 76140
(817) 551-9600
ITEM 5. OTHER EVENTS
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(a) On October 15, 1998, Registrant issued a press release announcing
the opening of the first prototype renovation of its Tandy
Leather & Crafts retail concept.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
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(c) Exhibits.
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Exhibit
Number Description
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99 Copy of press release announcing the opening of
the first prototype renovation of its Tandy
Leather & Crafts retail concept.
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 of the
undersigned thereunto duly authorized.
TANDYCRAFTS, INC.
Date: October 20, 1998 By:/s/ Michael J. Walsh
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Michael J. Walsh
President
Date: October 20, 1998 By:/s/ James D. Allen
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James D. Allen
Chief Financial Officer
For Immediate Release
TANDYCRAFTS, INC. OPENS PROTOTYPE RENOVATION FOR TANDY LEATHER & CRAFTS STORES
EXPANDED PRODUCT LINE SHOULD BROADEN DEMOGRAPHIC APPEAL, ATTRACT MORE WOMEN,
FAMILIES TO STORES
FT. WORTH, Texas (October 15, 1998) -- TANDYCRAFTS, INC. (NYSE: "TAC") today
announced the opening of the first prototype renovation of its Tandy Leather &
Crafts retail concept. The renovated store is located in the Medallion Shopping
Center in Dallas, Texas, and is one of five Tandy Leather & Crafts stores
located in the Dallas-Ft. Worth area. The first Tandy Leather & Crafts store
was opened by Charles Tandy in Fort Worth, Texas in 1919 and the chain has
evolved into the major leathercraft supplier to a number of diverse customer
groups. Today, there are approximately 122 company-owned stores operating in 41
states and another 100 authorized dealers worldwide.
In accordance with Tandycrafts' strategic focus to increase same-store sales and
broaden the customer base for this retail concept, the renovated Tandy Leather &
Crafts store has been redesigned to include a broader line of merchandise and
more effective in-store display and merchandising fixtures. Ready-made products
have been added to complement traditional do-it-yourself leather kits, more
effective packaging has been developed to enhance the "shelf appeal" of store
merchandise, and the store has been redesigned to broaden its appeal to women
and families. Historically, Tandy Leather & Crafts stores have catered
primarily to serious hobbyists, boys' and young mens' organizations (e.g., YMCA
Indian Guides, Boy Scouts), and industrial arts/crafts programs at schools,
hospitals, prisons and recreational organizations.
"Tandy Leather has developed strong brand loyalty among its traditional customer
base, but the concept has changed little in the past thirty years and has not
adapted to an evolving retail environment," observed Michael J. Walsh, President
and Chief Executive Officer of Tandycrafts, Inc. "We are in the process of
revitalizing our entire Company, and in addition to an improved store design and
enhanced computer systems, we will be relocating a number of Tandy Leather &
Crafts stores to better and more accessible retail locations during the next
several years."
"By expanding the demographic appeal of our Tandy Leather & Crafts retail
outlets, we should also enhance the stores' ability to sell kits and craft
supplies which are produced by our manufacturing division," continued Walsh.
"Tandycrafts currently manufactures thousands of leather products and craft
supplies, including drums, tepees, suede vests, wallets, belts and home decor
items. We have the production capacity and supplier relationships to support a
significant increase in manufacturing output for our retail stores and mail
order division."
Tandycrafts, Inc. manufactures, distributes and/or retails products through four
distinct product-related divisions: Frames and Wall Decor, Leather and Crafts,
Office Supplies, and Novelties and Promotional. Its products are marketed and
sold through various channels, including direct-to-consumer (e.g., retail
stores, mail order, the Internet) and wholesale distribution (e.g., direct sales
force, telemarketing, outside sales representatives). The Company is
headquartered in Ft. Worth, Texas and its common stock is listed on the New York
Stock Exchange under the ticker symbol "TAC".
This press release includes statements that may constitute "forward-
looking" statements, usually containing the words "believe",
"estimate", "project", "expect" or similar expressions. These
statements are made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Forward-looking
statements inherently involve risks and uncertainties that could cause
actual results to differ materially from the forward-looking
statements. Factors that would cause or contribute to such
differences include, but are not limited to, continued acceptance of
the Company's products in the marketplace, competitive factors,
dependence upon third-party vendors, and other risks detailed in the
Company's periodic report filings with the Securities and Exchange
Commission. By making these forward-looking statements, the Company
undertakes no obligation to update these statements for revisions or
changes after the date of this release.
For further information, please contact:
James Allen, Chief Financial Officer at (817) 551-9600
or
R. Jerry Falkner, CFA, Investor Relations Counsel at (800) 377-9893
