STORES Magazine - December 2008 - (Page 17)

10 THINGS YOU MAY HAVE MISSED Faux information? Securities fraud and retailers have come up in separate incidents. Duane Reade’s former CEO Anthony Cuti and ex-CFO William Tennant have been indicted for allegedly inflating the drug store chain’s income and understating expenses. Meanwhile, in a suit by institutional investors led by American International Group filed against Bank of America, the plaintiffs say fraud and deceit were involved in the sale of $648 million worth of securities offered by furniture retailer Heilig-Meyers backed by customer receivables. HeiligMeyers went bankrupt eight years ago. No exceptions … Buying beer or cigarettes to tote home for watching a Bills or Sabres game takes a tad longer now that Buffaloarea Tops Friendly Markets are asking for identification for anyone buying alcoholic or tobacco products. All 76 Tops in the region have been carding customers as part of its “We Proof Everyone” policy. The chain says it wanted to relieve cashiers of the burden of having to pick and choose among which shoppers to single out for IDs. Ribbon-cutting … Many retailers are scaling back expansion plans, and others have found it necessary to close underperforming locations. For Ulta Salon, Cosmetics & Fragrances, however, now is the time to open its first urban store. The four-story, 18,000-sq.-ft. unit Compiled by David P. Schulz 3 on State Street in Chicago’s Loop includes 21,000 SKUs of H&BC products in addition to the hair care facilities. Rough sledding … Department stores are having a tough time this holiday season. Mervyns has been liquidating its West Coast locations while operating under bankruptcy court protection. Boscov’s, also operating in Chapter 11, has agreed to be purchased by a family group led by former CEOs Albert Boscov and Edwin Lakin. And embattled Dillard’s, fighting investor-led attempts to remove Dillard family members from the board, has had its debt rating reduced with negative implications. 6 new place to hang out now that Saks Fifth Avenue will be shutting down its Club Libby Lu operation over the next six months. That includes 78 freestanding Libby Lu locations in malls and 20 clubs housed inside department stores. Rx for business … Walgreen is in the midst of reorganizing itself by shifting top management, slowing expansion and shoring up the company’s balance sheet. Chairman and CEO Jeffrey Rein left abruptly in mid-October. Then the company announced plans to cut $1 billion in capital expenses while rejuvenating stores by reconfiguring layouts and adding more groceries to convenience shelves. In addition, prescription departments will be streamlined through workload balancing. Bubbly bow … Harrod’s, the London department store renowned for its food and beverage offerings, is now home to the Veuve Clicquot Champagne Bar and Boutique. Situated away from the Food Hall and amid the first floor international luxury fashion labels, the bar serves a full range of champagnes from the House of Clicquot as well as an everchanging a la carte menu. Gifts and champagne accessories are also available. Sweet dreams … Can fine chocolates and confections find happiness sharing space with super premium ice cream? Rocky Mountain Chocolate Factory and Cold Stone Creamery are about to find out after agreeing to test seven co-branded stores. The two franchisors are seeking to level sales peaks and valleys created by summer ice cream demand and chocolate-eaters’ coolerweather preferences. The first co-branded units are expected to open by next summer. Walk up or sit down … Rising food costs and penny-pinching consumers have combined to make for very difficult times in the restaurant business. Now comes the suggestion that concerns over greenhouse gases could threaten the drivethrough windows at fast-food restaurants. A study by engineering students at the University of Alberta found that idling engines of cars lined up at drive-through restaurants generated 9,000 tons of greenhouses gases —or 0.05 percent of Edmonton’s total annual emissions. WWW.STORES.ORG 1 9 4 7 2 Persian Gulf grandeur … With Bloomingdale’s and Galeries Lafayette as anchors and nearly 600 other retailers 10 5 Clubhouse closing … Fashion-forward ’tweens will have to find a 8 ready to do business, the Dubai Mall in the United Arab Emirates bowed in what it claims is the “largest-ever mall opening in retail history.” The 5.6-million-sq.-ft. of retail space will eventually include more than 1,200 stores and feature a gold market. There is also an Olympic-size skating rink, a supermarket/organic food market and 160 food and beverage outlets. STORES / DECEMBER 2008 17 http://WWW.STORES.ORG

Table of Contents Feed for the Digital Edition of STORES Magazine - December 2008

STORES Magazine - December 2008 Contents Executive Editor's Page President's Page Wrap Rage Unraveled What Shoppers Think Courting a Comeback 10 Things You May Have Missed Numbers Worth Counting Full Price/Markdown Retail People Cover Story: Navigating the Road Ahead Website Strategy Concept2Watch Online Customer Service International Marketing Green Retailing Online Merchandising Signage Operations Online Strategies Pricing Strategy Kiosks RFID Human Resources Loeb Retail Letter ARTS Update Point of View NRF News Retail Crossword Retail Industry Calendar Last Laugh

STORES Magazine - December 2008

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