The Neiman Marcus Group, Inc. (NYSE: NMGA) is the leading high-end specialty retailer in the United States. It operates stores under The Neiman Marcus and Bergdorf Goodman names in addition to Neiman Marcus Direct, its multi-brand catalog and online operations. The Neiman Marcus Group also holds a control position in consumer brand Kate Spade and until its sale in 2006, in Laura Mercier cosmetics. The Neiman Marcus Group was originally acquired by the General Cinema Corporation in 1987, when the retailer’s brand and financial performance were in decline.

In the early 1990s, Castanea’s co-founders Brian Knez and Robert Smith assumed senior executive roles at The Neiman Marcus Group. They served as co-CEO from 1999 to 2001 and were members of the Board of Directors since 1998. Until its successful sale in 2005, Brian and Rob served as co-Vice Chairman of the Board of Directors. Paul Gibbons, also a Castanea co-founder, was Vice President and Treasurer of the company during the same period.

During Brian and Rob’s tenure, the company pursued a strategy of investment in the business and brand, strategic acquisitions to expand its direct marketing presence and capabilities, and selective investments in emerging consumer brands. During that time, Neiman Marcus’ return on invested capital improved from 4% to an industry leading 12% and the enterprise value of the company increased from $1.5 billion to $3.0 billion.

<back