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Tuesday, December 18, 2012

Cerberus to sell gunmaker Freedom Group after shootings, (NASDAQ: PLCE)

U.S. private equity firm Cerberus Capital Management is selling its investment in gunmaker Freedom Group, whose AR 15 rifle was used in a U.S. school massacre last week, following pressure from a major investor.The California State Teachers' Retirement System (CalSTRS) said on Monday it was reviewing its investment with Cerberus in the wake of Friday's shooting in Newtown, Connecticut which claimed 27 lives, including 20 school children.CalSTRS, the second largest pension fund in the United States, had invested $751.4 million with Cerberus by the end of March 2012, according to its website.Cerberus said on Tuesday it would hire a financial adviser to sell its interests in Freedom Group and return the proceeds to investors.

The Children's Place Retail Stores, Inc. operates as a specialty retailer of apparel and accessories for children. Shares of PLCE traded higher by 1.16% or $0.525/share to $45.80. In the past year, the shares have traded as low as $43.12 and as high as $62.24. On average, 398684 shares of PLCE exchange hands on a given day and today's volume is recorded at 64436.