Circuit City Posts Loss, Withdraws Earnings Forecast
New York City, Circuit City Stores on Wednesday posted a quarterly loss that it called disappointing and withdrew its earnings forecast, citing a drop in television sales and an uncertain economic environment. The company reported a loss of $54.6 million from net income of $6.4 million for the fiscal first quarter. Net sales declined 4.3% to $2.49 billion from $2.60 billion. Same-store sales slipped 5.6%. In the year-ago period, same-store sales rose nearly 15%. The company said its profit margins fell due to a drop in domestic sales of extended warranties and on increased sales of lower-margin personal computers.
“While I am disappointed with the large net loss for the first quarter, we met our revised guidance while up against our toughest comparable-store sales increase comparison of this fiscal year,” Circuit City chief executive Philip J. Schoonover said in a statement. “We made significant and substantial changes to improve Circuit City and position the company to compete while facing economic uncertainty in the near term and new realities in the consumer electronics marketplace over the longer term.”
Circuit City said total television comparable store sales decreased sharply, as a significant drop in projection and traditional tube televisions more than offset growth in flat-panel televisions.
Networkcar names operations head
SAN DIEGO Networkcar, a wireless vehicle management company, has named Anne Perry as director of operations. Perry will be responsible for leading the strategic direction and implementation of all field operations, customer service, project management manufacturing, fulfillment, inventory, and service/repair functions.
Perry brings an extensive background in operations and project management to Networkcar. As a consultant, she honed her skills working with world-known companies such as IBM, JD Edwards, Eveready, and Coca-Cola. Her global experience includes owning a consulting business in South Africa, working with Sony Music in Britain, and consulting with a technology company in the Netherlands.
‘Scary’ accessories line to debut at Wal-Mart
NEW YORK Pretty Freekin Scary, a new line of accessories from American Greetings will debut in 2,419 Wal-Mart stores, beginning October 1st, and will remain in stores through Halloween.
“Wal-Mart is the world’s largest retailer. That said, we are thrilled to launch a brand new Pretty Freekin Scary product line there, all the while extending the overarching American Greetings presence at Wal-Mart,” said Tamra Knepfer, senior vp of consumer products for American Greetings Properties. “With its eerie themes and undead characters, the Pretty Freekin Scary merchandise should be a natural choice for all Halloween shoppers looking for a special trick-or-treat.”
The Pretty Freekin Scary accessories line will consist of more than a dozen items and will be displayed on Wal-Mart endcaps. Items include bracelets, dolls, paper lanterns and cell phone cases. Wal-Mart will also be offering a Pretty Freekin Scary greeting cards line at participating stores. All designs were created in-house and are being produced by American Greetings Global Sourcing.