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Fifth & Pacific shares should be bought on weakness, says Sterne Agee

After Fifth & Pacific's stock fell following a media report which stated that the front-runners to purchase two of the company's brands have pulled out of the process, Sterne Agee is not concerned because the report indicated that three other entities are still interested in the brands. The firm notes that Fifth & Pacific would likely use any proceeds from selling the brands to pay down debt which can't be done until April 2014 in any event. Furthermore, Sterne Agee's checks indicate that the company's Kate brand continues to be strong, and the firm thinks the stock can rise even if it doesn't sell any brands.