Best Buy reportedly reaches out to Schulze to resume talks
Minneapolis — A Thursday report by Bloomberg, citing unnamed sources, said that Best Buy Co. has rekindled its talks with co-founder Richard Schulze about an agreement that would allow Schulze to launch due-diligence efforts toward his proposed acquisition of the company.
Best Buy reportedly reached out to Schulze shortly after announcing quarterly earnings on Aug. 21 that missed Wall Street estimates, according to one of the unidentified sources, who also said that both parties could reach an agreement later this week.
Schulze refused Best Buy’s earlier offer to access confidential financial information because of what he deemed overly restrictive limitations such as curbing his contact with the board to gain information necessary toward the due diligence process.
Another sticking point has been that Best Buy is asking for a fully committed offer from Schulze within 60 days; Schulze said he needs 90 days to obtain financing. Impasses such as these brought the talks to a halt on Aug. 19, but sources say both sides are now willing to com
Target Facebook campaign raises $2.5 million for schools
MINNEAPOLIS — Target’s charitable Facebook campaign garnered more than three million votes in leas than four weeks, the company reported. Through its Give With Target campaign, the company was able to reach its goal of awarding $2.5 million in Target gift cards to schools across the country two weeks earlier than planned.
“We are thrilled with the public’s response to Give With Target and the record level of engagement we saw through Facebook,” said Laysha Ward, president of community relations, Target. “Thanks to the millions of people who voted, Target will award thousands of schools with Target GiftCards to use for classroom resources just in time for the start of the school year.”
Give With Target resulted in the highest engagement of any social media campaign in Target’s history.
From New York to California, more than 30,000 schools will receive Target gift cards as a result of the Facebook component of Give With Target. For every 25 votes a school received, it earned a $25 GiftCard from Target. The five schools with the most votes are:
St. Charles School, Staten Island N.Y. – $4,375
Andrew P. Hill High School, San Jose, Calif. – $3,475
Northside Elementary School, Benson, Minn. – $2,750
St. Hubert’s Catholic Girls H.S., Philadelphia, Pa. – $2,475
Mooseheart School, Mooseheart Ill. – $2,400
PacSun sees 2Q sales growth
ANAHEIM, Calif. — Pacific Sunwear of California reported that net sales for the second quarter of fiscal 2012 ended July 28, were $210.3 million versus net sales of $200.9 million for the second quarter of fiscal 2011 ended July 30, 2011.
On a GAAP basis, the xompany reported a loss from continuing operations of $17.5 million, or 26 cents per share, for the second quarter of fiscal 2012, compared with a loss from continuing operations of $17.5 million, or 26 cents per share, for the second quarter of fiscal 2011.
"Our 5% comparable-store sales, 260 basis point increase in merchandise margins, and positive operating cash flow for the second quarter further demonstrate our belief that customers are beginning to rediscover PacSun, including our improved merchandising and brand mix, and our distinct Golden State of Mind brand identity," said Gary Schoenfeld, president and CEO. "Newer brands helped drive a 7% comps in our men’s business, which represents our biggest increase in Men’s since 2004. Women’s continued to improve as well with a 2% comp and higher margins, and we also achieved a 15% increase in online sales."
For the third quarter, the company is expecting a non-GAAP net loss per share from continuing operations of between negative 8 cents and flat. Same-store sales are expected to be between negative 2% to plus 2%.