Retail News You Can Use
Report: Best Buy Plans to Double Sales in 5 Years
Minneapolis (June 26, 2008) Best Buy Co. expects to double its sales to $80 billion in the next five years, president and COO Brian Dunn said at the company's annual meeting on Wednesday, according to the Minneapolis / St. Paul Business Journal.
Best Buy doubled its revenue from $20 billion in fiscal 2003 to $40 billion in fiscal 2008. The company expanded from 679 stores to 1,314 during that time.
Ralphs Unveils Lower-Price Policy
Los Angeles (June 26, 2008) Ralphs Grocery Co. is initiating a lower-price policy that involves reductions on goods that customers buy most often, according to the Los Angeles Times.
The 262-store chain in Southern California is planning to cut prices on thousands of popular goods.
Rite Aid Posts 1Q Loss
Harrisburg, Pa. (June 26, 2008) Rite Aid Corp. said Thursday that it swung to a big loss in its first quarter as it continues to spend heavily to absorb more than 1,850 newly acquired stores and offered promotions on items such as food and toiletries that hurt profit margins, according to the Associated Press.
Rite Aid also said it has turned around the declining sales in the Brooks and Eckerd stores it acquired last year, and is a matter of several months away from full integration.
Bed Bath & Beyond 1Q Profit Tumbles 27%
Union, N.J. (June 26, 2008) Bed Bath & Beyond Inc. said Wednesday its fiscal first-quarter profit tumbled 27%, as costs outweighed sales growth.
For the quarter ended May 31, Bed Bath & Beyond earned $76.8 million compared with $104.6 million for the same quarter in 2007.
Report: Barack Obama Urges Tesco to Work With Unions
London (June 26, 2008) Presumptive Democratic presidential nominee Barack Obama has urged Tesco CEO Sir Terry Leahy to meet with the United Food & Commercial Workers Union (UFCW) over employment rights at its Fresh & Easy Neighborhood Market stores in the United States, according to the Daily Telegraph.
"I again urge you to reconsider your policy of non-engagement in the United States and advise your executives at Fresh & Easy to meet with the UFCW," Obama wrote in the letter, the report said.
J.C. Penney to Reduce Store Openings in 2009
Plano, Texas (June 25, 2008) J.C. Penney Co. will further slow the pace of new department store openings and cut capital spending next year because of the weak economy. The company said Wednesday it now plans 20 new or relocated stores next year, down from the 36 it expects to open in 2008.
Penney had once planned 50 new stores a year through 2011, but backed away from that goal in April, when it set the target of 36 new locations this year.
Contributed by:Nithin Narayanan