SUPPLY CHAIN

Attendees

BY CSA STAFF
24 Hour Fitness Irvine, CA24 Hour Fitness San Ramon, CA24 Hour Fitness Dallas, TXABC Fine Wine & Spirits Orlando, FLACS (Architectural Construction Services) Atlanta, GAAdvance Auto Parts Roanoke, VAAdvantage IQ Spokane, WAAldo Group Montreal, QuebecAli B Designs Hunter, NYAli B Designs Easton, PAAnn Taylor Stores New York, NYAnna’s Linens Costa Mesa, CAapi(+) Tampa, FLArchillume Lighting Design, Inc. Austin, TXArchitectural Design Guild St. Louis, MOArcVision Inc. St. Louis, MOAshley Furniture HomeStores Arcadia, WIAssociated Wholesale Grocers Springfield, MOAustin Energy Coml. Green Bldg. Program Austin, TXAutoNation, Inc. Fort Lauderdale, FLAxis Construction Services Conshohocken, PAB.R. Fries & Associates New York, NYBankAtlantic Fort Lauderdale, FLBankAtlantic Lake Worth, FLBass Pro Shops LP Springfield, MOBatteries Plus LLC Hartland, WIThe Beached Boat Co. Delray Beach, FLBeall’s, Inc. Bradenton, FLBeautyFirst Clearwater, FLBebe Stores, Inc. Brisbrane, CABed Bath & Beyond Union, NJBeef O’ Brady’s Tampa, FLBeveridge & Diamond PC Washington, DCGymboree’s Terry Miller, left, chats with Retail Project Managers’ Perry Stemper.BFS Retail & Coml. Operations LLC Bloomingdale, ILBig Lots, Inc. Columbus, OHBlain Supply Inc./Farm & Fleet Janesville, WIThe Bon-Ton Stores, Inc. York, PABooks-A-Million, Inc. Birmingham, ALBorders Group Inc. Ann Arbor, MIBoston Pizza International Mississauga, OntarioBrookshire Grocery Co. Tyler, TXBrown Shoe Co. Madison, WIBSW International, Inc. Tampa, FLBSW International, Inc. Tulsa, OKBUCA Inc. Minneapolis, MNBuehler Food Markets, Inc. Wooster, OHBuild-A-Bear Workshop St. Louis, MOBuilding #19, Inc. Hingham, MAC.M. Architecture, P.A. Minneapolis, MNC.M. Architecture, P.A. Fort Worth, TXCahan & Co. West Linn, ORCaribou Coffee Co., Inc. Minneapolis, MNCASCO Corp. St. Louis, MOCASCO Diversified St. Louis, MOCato Corp. Charlotte, NCCCA Global Partners Earth City, MOCedarwood Development Akron, OHCharming Shoppes Bensalem, PAChico’s FAS, Inc. Fort Myers, FLThe Children’s Place Secaucus, NJChipotle Mexican Grill, Inc. Denver, COChipotle Mexican Grill, Inc. Severna Park, MDChristopher & Banks, Inc. Plymouth, MNCircle K Tampa, FLCircuit City Stores, Inc. Richmond, VAClaire’s Stores, Inc. Pembroke Pines, FLClarks Cos. N.A. Newton Upper Falls, MACoffee Bean & Tea Leaf Anaheim, CACoffee Bean & Tea Leaf Los Angeles, CACommonwealth Building Inc. Quincy, MACompUSA Dallas, TXConstruction Central Consulting St. Cloud, FLConstruction One Inc. Columbus, OHConverse, Inc. North Andover, MACopesan Menomonie, WICost-U-Less, Inc. Bellevue, WACowan & Associates, Inc. Worthington, OHCrafton, Tull, Sparks & Associates Rogers, ARCrafton, Tull, Sparks & Associates Tulsa, OKCRMS St. Louis, MOCTL Group Skokie, ILCuhaci & Peterson Orlando, FLCVS Corp. Woonsocket, RICycle Gear Benicia, CADaniels Associates Inc. Phoenix, AZDarden Restaurants Orlando, FLDavid’s Bridal Conshohocken, PADCPC, LLC. Acworth, GADe Jager Construction Grand Rapids, MIDefense Commissary Agency Lackland AFB, TXDenny’s Spartanburg, SCDeseret Industries Salt Lake City, UTDesign Forum Dayton, OHDesignline Construction Services Eatontown, NJDiamond Mechanical Group Twinsburg, OHDick’s Sporting Goods Pittsburgh, PADiMarco Constructors LLC Rochester, NYDLP Construction Co., Inc. Alpharetta, GADo It Best Corp. Sciota, PADollar Financial Group Salt Lake City, UTDollar Financial Group Victoria, BCDollar Tree Stores, Inc. Chesapeake, VADon Penn Consulting Engineer Grapevine, TXDots, Inc. Solon, OHDSW Shoes Columbus, OHDunham Associates, Inc. Minneapolis, MNDunkin’ Brands Inc. Canton, MADunkin’ Brands Inc. East Longmeadow, MADunkin’ Brands Inc. Pennsauken, NJ Dynamic Speakers Inc. Oak Park, CAEat’n Park Hospitality Group, Inc. Homestead, PAEcho Real Estate Services Pittsburgh, PAEckinger Construction Co. Canton, OHEddie Bauer, Inc. Redmond, WAEden Enterprises, Inc. Carmel, INEmbarq Corp. Overland Park, KSExpesite Columbus, OHExxonMobil/On The Run Fairfax, VAFamily Dollar Stores Charlotte, NCFederated Department Stores Cincinnati, OHFeinknopf Macioce Schappa Columbus, OHFinish Line Indianapolis, INFishbeck, Thompson, Carr & Huber Grand Rapids, MIFitch Inc. Scottsdale, AZFlynn Construction, Inc. Pittsburgh, PAFMI Corp. Raleigh, NCFocus Brands, Inc. Denver, COFocus Brands, Inc. Celebration, FLFocus Brands, Inc. Atlanta, GAFollett College Stores Oak Brook, ILFood Circus Super Markets, Inc. Middletown, NJFoot Locker Inc. Bradenton, FLFoot Locker Inc. New York, NYFossil Inc. Richardson, TXFRCH Design Worldwide Cincinnati, OHFred Olivieri Construction Co. North Canton, OHFred Olivieri Construction Co. Southlake, TXFred’s Inc. Memphis, TNThe Fresh Market Greensboro, NCFresh Produce Sportswear Boulder, COFresh Vitamins Inc. Kirkland, WAFriedman’s, Inc. Addison, TXFulcrum Construction, LLC Atlanta, GAGap Inc. Irvine, CAGap Inc. San Bruno, CAGap Inc. Atlanta, GAGap Inc. Chicago, ILGap Inc. New York, NYGap Inc. Bala Cynwyd, PAGap Inc. Addison, TXGC Barnes & Associates, Ltd. York, PAGC Builders Rancho Cucamonga, CAGiant Tiger Stores Ltd. Ottawa, OntarioGiffels Tampa, FLGlimcher Development Corp. Columbus, OHGodiva Chocolatier New York, NYGoodwill Industries of Delaware Wilmington, DEGoodwill Industries of SE WI, Inc. Milwaukee, WIGoodwill Retail Services, Inc. Milwaukee, WIGranger Contracting Co., Inc. Chesterfield, MOGreenTime LLC Orlando, FLGreenwood Construction Co. Draper, UTGruskin Group Springfield, NJGuess? Retail, Inc. Los Angeles, CAGuess? Retail, Inc. St. Charles, MOGuess? Retail, Inc. Dallas, TXGuitar Center Westlake Village, CAGymboree Corp. San Francisco, CAHanesbrands, Inc. Winston-Salem, NCHanlin-Rainaldi Construction Corp. Columbus, OHHDOS Enterprises Carlsbad, CAHealy Construction Services, Inc. Crestwood, ILHEB Grocery Co. San Antonio, TXHerschman Architects, Inc. Cleveland, OHHill & Wilkinson, Ltd. Plano, TXThe Home Depot Orange, CAThe Home Depot Union, CTThe Home Depot Atlanta, GAThe Home Depot Arlington Heights, ILThe Home Depot Toronto, OntarioThe Home Depot Garza Garcia, NL, MexicoHome Hardware Stores Ltd. St. Jacobs, OntarioHorizon Retail Construction, Inc. Racine, WIHot Topic City of Industry, CAHunter Building Corp. Houston, TXIDQ Cos. Inc. Edina, MNIDQ Cos. Inc. Minneapolis, MNInterplan LLC Orlando, FLInterstate Restoration Group Alpharetta, GA Interstate Restoration Group Clinton, NJJayeff Construction Corp. Manasquan, NJJDR Consulting Colts Neck, NJJDS Properties & Acquisitions Philipsburg, NJJE Sims & Associates Arlington, TXJencen Architecture Cleveland, OHJG Construction Chino, CAJo-Ann Stores, Inc. Hudson, OHJohn G. Mengelson Inc. Sun City Center, FLJohn G. Mengelson Inc. Naperville, ILJohn G. Mengelson Inc. Pittsburgh, PAJP Morgan Chase Bank Chicago, ILKB Toys Pittsfield, MAKirkland’s Inc. Jackson, TNKirkland’s Inc. Eureka, MOKohl’s Department Stores Menomonee Falls, WIKum & Go, L.C. West Des Moines, IAL.E.K. Consulting LLC Los Angeles, CAL2M Glen Burnie, MDLamps Plus Chatsworth, CALarson Binkley, Inc. Overland Park, KSLife Extension Nutrition Center Maitland, FLLimited Brands, Inc. Columbus, OHLittle Costa Mesa, CALittle Charlotte, NCLiz Claiborne North Bergen, NJLongs Drug Stores Walnut Creek, CALowe’s Cos., Inc. Wilkesboro, NCAndy Kuc, left, Brown Shoe Co., gets down to business with the folks at the Walton Signage booth.Management Resource Systems, Inc. High Point, NCMarco Contractors, Inc. Warrendale, PAMarine Corps Community Services Barstow, CAMarine Corps Community Services Camp Pendleton, CAMarine Corps Community Services San Diego, CAMarine Corps Community Services Twentynine Palms, CAMarine Corps Community Services Albany, GAMarine Corps Community Services MCBH Kaneohe Bay, HIMarine Corps Community Services Camp LeJeune, NCMarine Corps Community Services Cherry Point, NCMarine Corps Community Services Jacksonville, NCMarine Corps Community Services Parris Island, SCMarine Corps Community Services Arlington, VAMarine Corps Community Services Norfolk, VAMarine Corps Community Services Quantico, VAMarine Corps Community Services FPO AP, JapanMark G. Anderson Consultants Washington, DCMars Super Markets, Inc. Baltimore, MDMazzio’s Corp. Tulsa, OKMBK Construction Corp. Flora, ILMcDonald’s Corp. Warrenville, ILMeineke Car Care Centers Inc. Charlotte, NCMelt California Inc. Laguna Hills, CAThe Men’s Wearhouse Fremont, CAMillennium Design Associates, Inc. Braintree, MAMJP Group, Inc. St. Paul, MNMothers Work, Inc. Philadelphia, PAMS Consultants Youngstown, OHMulti-Site Energy Advisory LLC Atlanta, GAMy Girlfriend’s Kitchen Salt Lake City, UTNew England Carpenters Labor Mgmt. Boston, MANew Vision Studios New York, NYNew World Restaurant Group, Inc. Golden, CONew York & Co. New York, NYNike Retail, Inc. Beaverton, ORNORR, LLC Detroit, MINorth Face San Leandro, CANortheast Permit Service, Inc. Worcester, MAOffice Depot Delray Beach, FLOrchard Supply Hardware San Jose, CAO’Reilly Auto Parts Springfield, MOOrscheln Farm & Home Moberly, MOPanda Restaurant Group Rosemead, CAPapa Gino’s Dedham, MAParadigm Engineering Lewisville, TXPathmark Stores Inc. Carteret, NJPayless ShoeSource, Inc. Topeka, KSPCS Newport Beach, CAPDMS Design Arlington, TXPharMerica Corp. Tampa, FLPinch A Penny Clearwater, FLPlan Express, Inc. Memphis, TNPro M Corp. Farmingdale, NJProdigy Construction Mgmt. Ltd. Gahanna, OHProfessional Engineering Assocs., Inc. Troy, MIPublix Super Markets Lakeland, FLQuality Project Management Tempe, AZQuality Project Management Miami, FLQuiznos Denver, CORCC Associates Deerfield Beach, FLRetail Connection LLC Rock Hall, MDRidge Construction Corp. North Brunswick, NJRite Aid Corp. Sterling Heights, MIRite Aid Corp. Delaware, OHRite Aid Corp. Camp Hill, PARoche Bros. Supermarkets, Inc. Wellesley, MARosenthal Associates, LLC Lafayette, CORRMM Architects Norfolk, VARussco, Inc. Fall River, MARuth’s Chris Steak House Inc. Mesa, AZRuth’s Chris Steak House Inc. Heathrow, FLS A Miro Inc. Denver, COSargenti Architects Lodi, NJSBLM Architects PC New York, NYSchimenti Construction Co. LLC Mount Kisco, NYSchottenstein Stores Corp. Columbus, OHScorpio Construction, Inc. West Creek, NJSephora USA, LLC San Francisco, CASierra Development Fort Mohave, AZSite Enhancement Services South Bend, INSlumberland Furniture Little Canada, MN Smart & Final, Inc. Commerce, CASobeys Inc. Mississauga, OntarioSolex Contracting, Inc. Temecula, CASonic Restaurants, Inc. Oklahoma City, OKSouthwestern Services Fort Worth, TXSpencer Gifts LLC Egg Harbor Township, NJStandard & Poor’s New York, NYStarbucks Coffee Co. Fountain Valley, CAStarbucks Coffee Co. Parsippany, NJStarbucks Coffee Co. Seattle, WASwarovski Cranston, RISWC Construction Inc. Fresno, CASweetbay Supermarket Tampa, FLT-Mobile USA, Inc. Atlanta, GAT-Mobile USA, Inc. Bellevue, WAT.D. Farrell Construction, Inc. Alpharetta, GAT.L. Martin & Associates Wayne, PATalbots Hingham, MATanner Cos., LLC Rutherfordton, NCThe Tanner Group LLC Houston, TXTarget Corp. Minneapolis, MNTDS Construction, Inc. Bradenton, FLTedeschi Food Shops, Inc. Rockland, MATeel Construction, Inc. Great Falls, VATexas A&M University College Station, TXTire Kingdom, Inc. Juno Beach, FLTitleMax Savannah, GATJX Cos., Inc. Framingham, MATolTest, Inc. Maumee, OHTopSource LLC Braintree, MATotal Wine & More Potomac, MDThe Townson Co. Southlake, TXToys “R” Us, Inc. Wayne, NJTractor Supply Co. Brentwood, TNTravisano Construction Pittsburgh, PATri-C Construction Co., Inc. Akron, OHTricarico Architecture & Design PC Wayne, NJTSAO Design Group Miami, FLTuscan Builders LP Houston, TXU.S. Vision, Inc. Blackwood, NJU•Store•It Wayne, PAUrban Brands Secaucus, NJVanney Associates, Inc. St. Paul, MNVerizon Wireless Chandler, AZVerizon Wireless Irvine, CAVerizon Wireless Sacramento, CAVerizon Wireless Walnut Creek, CAVerizon Wireless Greenwood Village, COVerizon Wireless Temple Terrace, FLVerizon Wireless Alpharetta, GAVerizon Wireless South Bend, INVerizon Wireless Schaumburg, ILVerizon Wireless Overland Park, KSVerizon Wireless Plymouth, MNVerizon Wireless Greensburg, PAVerizon Wireless Warrendale, PAVerizon Wireless Bellevue, WAVilleroy & Boch USA, Inc. Princeton, NJVincent Cusumano Architect PC New York, NYWallace Design Group Dallas, TXWal-Mart Puerto Rico, Inc. Caguas, PRWal-Mart Stores, Inc. Bentonville, ARWatterson Environmental Group Schaumburg, ILWD Partners Irvine, CAWD Partners Columbus, OHWD Partners Dublin, OHWeekes Construction, Inc. Greenville, SCWegmans Food Markets, Inc. Rochester, NYWeingarten Realty Investors Orlando, FLWeingarten Realty Investors Atlanta, GAWeingarten Realty Investors Houston, TXWest Marine Products, Inc. Watsonvillle, CAWhole Foods Market, Inc. Emeryville, CAWinkel Construction, Inc. Inverness, FLWinners Merchants International Mississauga, OntarioWoods Construction Inc. Sterling Heights, MIZale Corp. Irving, TX

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Weekly Retail Fix

BY CSA STAFF

THE NEWS: SAM’S REALIGNS STORE-LEVEL MANAGEMENT

BENTONVILLE, ARK. Sam’s Club is changing the management structure in its stores. In the realignment, approximately 250 positions will be eliminated, Wal-Mart Stores announced last week. The company said it’s replacing five lower level management positions at each Sam’s Club location with three new higher level and higher paying assistant manager positions.

“This is not a cost cutting effort. We expect a slight increase in payroll upon completion of this change,” said Sharon Orlopp, senior vp of Sam’s people division.

THE FIX: Differentiation would better help Sam’s

Since Sam’s decided that its refocus on the business customer was too narrow, it has sought to find ways to make its clubs more attractive to primary shoppers, i.e., women. And that’s a pretty tough row to hoe, as Costco has done a pretty good job at satisfying the club customer in general and BJ’s has been going after female shoppers for several years now, with some success.

Having fewer managers with more direct responsibility could create a tighter knit club-level management and shorten lines of responsibility and accountability. Yet, without differentiating the offering, execution isn’t going to overcome all of Sam’s challenges.

That being said, a store-level management realignment might be overlooked at other retailers, but, this being Wal-Mart, everyone has to make a big deal about it. But that’s the price you pay as the big guy on the block.

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Weekly Retail Fix

BY CSA STAFF

THE NEWS: TOYS ‘R’ US EARNINGS GAIN 40.1%

WAYNE, N.J. Toys “R” Us today posted net earnings of $199 million for its critical fourth quarter, which meant it turned a profit for the fiscal year ended Feb. 3. But special charges and gains had an impact on its numbers.

Sales for the previous fiscal annum were $142 million, the difference translating into a net earnings increase of 40.1% year over year. For the last fiscal year, Toys “R” Us posted net earnings of $85 million versus a net loss of $384 million for the previous period.

Operating earnings in the fiscal 2006 fourth quarter gained 53.1% to $571 million versus $373 million for the fourth quarter of fiscal 2005. For the last fiscal year, operating earnings were $649 million versus an operating loss of $142 million for the previous period.

THE FIX: Improved shopper experience ups comps

Of course, any observer has to take into consideration special financial circumstances. Fiscal 2006 operating earnings were positively impacted by $96 million from gains on property sales, slightly offset by restructuring and other charges. In fiscal 2005, operating earnings were negatively impacted by $410 million in costs relating to the merger of the company, as well as $58 million of costs and charges relating to contract settlement fees, restructuring and other charges.

Still, sales were trending up at last year’s end. Net sales gained 15.8% to $5.7 billion. In the full fiscal year, net sales advanced to $13 billion, up 15.2%.

Comparable-store sales for the Toys “R” Us’ U.S. division gained 0.6% in fiscal 2006, and that represents the division’s first comps increase in six years. Comps at Babies “R” Us were up 4.8% and those at Toys “R” Us international were up 2.6% for the fiscal year.

Jerry Storch, chairman and ceo of Toys “R” Us, said the company is “pleased with the strides we made in fiscal 2006 to improve at all levels of the organization and reposition the company for profitable growth over the long term.”

He said the company’s new management team has been focusing on executing a strategy that would turn the retailer into a global toy and baby products authority.

“This translated into higher overall sales, positive comparable-store sales, improved gross margins and strong operating earnings growth for the 2006 fiscal year,” Storch asserted. “The key to our strategy has been improving the customer shopping experience in our stores. We are accomplishing this by delivering a more compelling merchandise selection, better service and a cleaner and more comfortable shopping environment.”

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