Board of Tandy Brands OKs Division’s Spinoff

FT. WORTH — The board of home-furnishings maker Tandy Brands Inc. has approved a plan to spin off its accessories unit into a firm whose common stock will be distributed as a tax-free dividend to parent-company stockholders.

The new company, which will make men’s and boys’ leather products and neckwear, will be called Tandy Brands Accessories Inc. Tandy Brands was itself spun off from Tandy Corp., the electronics giant, in 1975.

Under the latest spinoff plan, stockholders will get 20 Tandy Brands Accessories shares for every 100 Tandy Brands shares they own.

When the spinoff is complete, Tandy Brands is expected to take the name of its other operating division, Bombay Co.