Borders to Sell Aussie, New Zealand Business
Ann Arbor, Mich. Borders Group Inc. said it will sell its businesses in Australia, New Zealand and Singapore to fellow book retailer A&R Whitcoulls and private-equity firm Pacific Equity Partners for as much as $104 million.
Borders said Thursday the deal is expected to close next week.
The company announced in March 2007 that it was exploring a possible sale of those businesses, which include 30 Borders superstores. Since then, Borders has been considering whether to sell off the entire company.
Borders said it will get about $90 million for the businesses in Australia, New Zealand and Singapore, plus deferred payments of up to about $14 million next year if performance targets are met.
A&R Whitcoulls will have the right to use the Borders brand.
Yahoo! launches online retail ad program
NEW YORK Yahoo! has launched Yahoo! Circular, a program that enables retailers to reach potential shoppers using Yahoo!’s Smart Ads technology which automatically generates customized advertising based on users’ preferences.
The program is intended to supplement existing newspaper-based marketing programs for retailers by delivering other key benefits like incremental reach, cost efficiency, flexibility in regional pricing and product availability, as well as the opportunity to deliver advertising throughout the week – not just on Sundays when circulars appear most often.
“The largest driver of in-store traffic for retailers has traditionally been the print circular, and the Yahoo! Circular program is designed to enhance that,” said Steven Feuling, category development officer for Yahoo!. “Harnessing our deep insight into user interests, Yahoo! can help retailers speak to consumers on a level that is more personal and engaging by putting just the right products and marketing messages in front of an interested shopper at just the right time.”
As part of the program, Yahoo! Circulars will be powered by content from ShopLocal, the leader in multi-channel shopping and advertising services. ShopLocal helps retailers drive in-stores sales by converting their local print promotions and Sunday circulars into engaging and dynamic online formats. Yahoo! will take these localized promotions one step further by presenting personalized promotions to consumers across the breadth of the Yahoo! Network.
Costco May comps down 1%
Costco reported net sales of $5.47 billion for the month of May, a decrease of 5% from $5.77 billion in the same four-week period last year.
U.S. comparable-store sales, excluding the impact of gasoline, were down 1%.