Content about C-Suite

August 23, 2013

After the larger-than-expected 12% drop in quarterly revenue J.C. Penney posted on Tuesday, I believe that the company’s time is running out.

By Kathy Gersch, VP at Kotter International kathy@kotterinternational.com

August 20, 2013

Barnes & Noble reported a worse-than-expected net loss of $87 million for the first quarter, compared to a loss of $39.8 million in the year-ago period.

NEW YORK — Barnes & Noble reported a worse-than-expected net loss of $87 million for the first quarter, compared to a loss of $39.8 million in the year-ago period. The bookseller’s troubles mounted with the news that its founder, chairman and largest shareholder, Leonard Riggio, was calling off his offer to buy the company’s retail business.

August 20, 2013

Best Buy said it earned $266 million in the second quarter, compared with a profit of $12 million in the year-ago period, amid cost cuts. Its results beat Wall Street expectations.

MINNEAPOLIS — Best Buy said it earned $266 million in the second quarter, compared with a profit of $12 million in the year-ago period, amid cost cuts. Its results beat Wall Street expectations.

Revenue for the quarter, ended Aug. 3, edged down to $9.3 billion, from $9.34 billion last year. Analysts expected $9.13 billion. Same-store sales fell 0.6%, including a 0.4% decline domestically. Online sales rose 10.5%.

August 20, 2013

A rebound in seasonal categories helped The Home Depot post double-digit same-store sales in the second quarter as it exceeded its own expectations.

ATLANTA — A rebound in seasonal categories helped The Home Depot post double-digit same-store sales in the second quarter as it exceeded its own expectations.

Net sales at the world's largest home improvement retailer increased 9.5% to $22.5 billion in the quarter ended Aug. 4, compared with $20.6 billion in the same quarter last year. Comp-store sales increased 10.7% across the company, and increased 11.4% among domestic stores.

Net earnings for the quarter were $1.80 billion, up 17.2% from $1.53 billion in last year's 14-week second quarter.

August 20, 2013

TJX reported that its fiscal second-quarter net income rose a better-than-expected 14%. The off-price retailer also increased its profit outlook for the year.

FRAMINGHAM, Mass. — TJX Cos. reported that its fiscal second-quarter net income rose a better-than-expected 14%. The off-price retailer also increased its profit outlook for the year.

The company earned $479.6 million for the quarter, which ended on Aug. 3, up from $421.1 million in the same quarter last year.

August 20, 2013

Closeout retailer Tuesday Morning announced the appointment of Michael Rouleau to CEO, effective immediately.

DALLAS — Closeout retailer Tuesday Morning announced the appointment of Michael Rouleau to CEO, effective immediately. Rouleau, who was appointed interim chief executive in March 2013, will also continue to serve on the company's board of directors, which he joined in November 2012.

August 19, 2013

Saks Inc. on Monday reported a worse than expected second-quarter loss amid disappointing sales of shoes and handbags.

New York -- Saks Inc. on Monday reported a worse than expected second-quarter loss amid disappointing sales of shoes and handbags. 

Saks, which last month reached a deal to be acquired by Canada's Hudson's Bay Co., had a net loss of $19.6 million for the quarter ended Aug. 3, compared with a net loss of $12.3 million a year earlier.

Overall sales rose 0.5% to $707.8 million for the quarter. Same-store sales rose 1.5%, below the 4.5% increase analysts had expected.

August 19, 2013

Canadian shoppers aren’t wowed by Target, according to a customer-satisfaction rating survey by Forum Research.

NEW YORK — Canadian shoppers aren’t wowed by Target Corp., according to a customer-satisfaction rating survey by Forum Research. As reported in The Globe and Mail, the survey ranked Target at the bottom of a list of major retailers operating in Canada. (Satisfaction as measured by the survey relates to service, prices and/or merchandise offering.)

Over all, Target scored a mean 2.7 out of 4, compared with Costco’s 3.5, Wal-Mart’s 3.1 and a 3.2 average.

July 29, 2013

Online consumer spending rose a healthy 15% in the second quarter of this year compared to the second quarter of last year. The IBM Online Retail Sales Index shows that mobile sales reached 19.4% of total online sales, up 28% from last year.

Armonk, N.Y. -- Online consumer spending rose a healthy 15% in the second quarter of this year compared to the second quarter of last year. The IBM Online Retail Sales Index shows that mobile sales reached 19.4% of total online sales, up 28% from last year. Online shopping growth substantially outpaced the 4.6% year-over-year increase of in-store sales during the second quarter.

July 29, 2013

In a letter to shareholders, the board of directors of Office Depot Inc. said it has made significant progress toward a successful closing of the planned merger with OfficeMax by the end of this year.

BOCA RATON, Fla. — In a letter to shareholders, the board of directors of Office Depot Inc. said it has made significant progress toward a successful closing of the planned merger with OfficeMax by the end of this year. The letter also urges shareholders to support the board’s 10 nominees for the company’s board of directors.

May 31, 2013

U.S. consumer spending dropped 0.2% in April 2013, according to the Commerce Department.

WASHINGTON — U.S. consumer spending dropped 0.2% in April 2013, according to the Commerce Department.

It was the first monthly decline since May of last year and follows increases of 0.1% in March and 0.8% in February. Falling gas prices in April were part of the reason for the drop in spending, with purchases of gas, electricity and other energy goods and services down 4.4%.

In addition, increased Social Security deductions in consumer paychecks may have also contributed to the decline in spending.

 

May 31, 2013

Genesco, a specialty footwear and apparel retailer operating numerous brick-and-mortar and online retail brands including Journeys and Lids.com, reported declines in earnings and net sales for the first quarter of fiscal 2014.

NASHVILLE, Tenn. — Genesco, a specialty footwear and apparel retailer operating numerous brick-and-mortar and online retail brands including Journeys and Lids.com, reported declines in earnings and net sales for the first quarter of fiscal 2014.

The company’s earnings declined 11% to $18.5 million from $20.8.

Net sales decreased 1.5% to $591 million from $600 million. Same-store sales fell 4%. Earnings remained slightly ahead of the company’s expectations.

May 31, 2013

Safeway has appointed Barry Libenson as senior VP and CIO, effective July 1, 2013. Libenson replaces former Safeway CIO David Ching, who retired earlier this year.

PLEASANTON, Calif. — Safeway has appointed Barry Libenson as senior VP and CIO, effective July 1, 2013. Libenson replaces former Safeway CIO David Ching, who retired earlier this year. He will oversee IT business functions and report to executive VP Larree Renda.

Libenson previously served as senior VP and CIO at Land O’Lakes Inc. since 2010. Other positions he has held include VP of business at Ingersoll-Rand and executive VP at Surety.com.

September 26, 2011

Amid economic uncertainty and low consumer confidence levels, retail CFOs are expecting a 3% increase in total 2011 sales, according to a recent survey by BDO USA.

Amid economic uncertainty and low consumer confidence levels, retail CFOs are expecting a 3% increase in total 2011 sales, according to a recent survey by BDO USA. While the number reflects the study’s most optimistic sales forecast since 2007, it is down from the 4.7% sales increase reported by the Commerce Department in 2010.

September 2, 2011

The retail world will lose one of its most colorful and respected CEOs when Costco Wholesale Club co-founder and chief executive Jim Sinegal steps down on January 1, 2012.

The retail world will lose one of its most colorful and respected CEOs when Costco Wholesale Club co-founder and chief executive Jim Sinegal steps down on January 1, 2012 (see related story). Among retailers, Sinegal stands out for offering proof positive that a business could be good to its employees and customers and still make a hefty profit.

August 23, 2011

It’s not easy keeping up with the comings and goings of retail executives these days. Every day seems to bring a change at -- or near -- the top. Hot-off-the-wire is the news that David Campisi, president and CEO of Sports Authority president and CEO, has suddenly resigned after just 17 months in the position. He will be replaced on an interim president by Darrell Webb, currently chairman and CEO of Jo-Ann Stores!

July 22, 2011

J.C. Penney marketing chief Mike Boylson is trading the retail game for another type of game entirely: baseball.

J.C. Penney marketing chief Mike Boylson is trading the retail game for another type of game entirely: baseball. The 32-year J.C. Penney veteran officially left the company on July 1, and is already hard at work on his next venture: Boylson and a pal are opening a D-Bat baseball and softball training franchise in Allen, Texas, not far from J.C. Penney’s headquarters.

July 13, 2011

The Microsoft Worldwide Partner Conference (WPC) is taking place this week (July 10 – 14) in Los Angeles, with some 15,000 from around the globe in attendance at the Staples Center. It’s a huge event, with over 100 breakout sessions each day, 22 regional keynotes and country breakouts. To kick-off the show, CEO Steve Ballmer said that, thanks to partners, Windows 7 has sold more than 400 million licenses in less than two years, and is still the fastest-selling operating system in history.

Here are some  other interesting tidbits from the conference:

June 30, 2011

Teen apparel retailer rue21 is celebrating the opening of its 700th store, in New Braunfels, Texas. The chain is on track to open 110 locations this year.

Commented president and CEO Bob Fisch: “We remain one of the fastest growing retailers in the nation. I would like to thank our real estate, construction and field teams and recognize their hard work, which allows us to celebrate another significant milestone for rue21."

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June 30, 2011

Apple runs a really tight ship. That’s the takeaway of a recent Wall Street Journal article that used confidential Apple store training materials and interviews with current and former store associates to provide a behind-the-scenes look at the tech-giant’s store operations.

Apple runs a really tight ship. That’s the takeaway of a recent Wall Street Journal article that used confidential Apple store training materials and interviews with current and former store associates to provide a behind-the-scenes look at the tech-giant’s store operations. Among the interesting details: Apple’s annual retail sales per square foot stand at an astounding $4,406.

Here are some other interesting insights from the article:

June 10, 2011

“The economic model of Outlet is the highest return on capital and is where customers gravitate," Gap CEO Glenn Murphy said at an investment conference in New York City, where he revealed the company will close 200 U.S. Gap stores and expand its outlet base.

“The economic model of Outlet is the highest return on capital and is where customers gravitate," Gap CEO Glenn Murphy said at an investment conference in New York City, where he revealed the company will close 200 U.S. Gap stores and expand its outlet base.

But don’t expect the stores to be filled with last year’s castoffs.

"I don't want them bringing stripes in the stores if stripes are last year's idea,” Murphy said.

June 6, 2011

Thinking of opening a store on Manhattan’s Fifth Ave? Be prepared to shell out some hefty rent. The average rent for space along Fifth Avenue’s prime stretch from 49th Street up to 59th Street hit $1,900 per square foot in the first quarter, according to the latest CB Richard Ellis (CBRE) Global Retail MarketView.

The second-highest U.S. retail market? Los Angeles, with rents of $520 per square foot.

June 3, 2011

“The world has changed a lot since my parents first shopped at Walmart; so have people and how they live. Our Next Generation Customer will include millions who are striving to join the emerging global middle class. They’re from the countryside around Punjab, India and the blue-collar suburbs of Sao Paulo, Brazil. They’re in the big cities -- from the wards of Chicago to the boroughs of New York City. They’re connected to the world through smartphones and social media. They’re in charge of when they shop and how they shop.”

May 18, 2011

With a subtitle of “The Unlikely Story of Wal Mart’s Green Revolution,” this book, by Pulitzer Prize-winning journalist Edward Humes, is a must-read for anyone who remains doubtful that going green can actually be profitable.

With a subtitle of “The Unlikely Story of Wal Mart’s Green Revolution,” this book, by Pulitzer Prize-winning journalist Edward Humes, is a must-read for anyone who remains doubtful that going green can actually be profitable.

May 12, 2011

Starbucks CEO Howard Schultz told Britain’s Sky.com that the chain’s focus on improving its offerings and encouraging innovation as opposed to cost-cutting and store-closings are the reasons for its turnaround.

“You can’t “cut your way to prosperity,” Schultz said. “You have to create growth and opportunity.”