Citi Trend Falls on Shrinkage Problems
New York, Shares of Citi Trends Inc. hit a 52-week low Friday, a day after its top executive said inventory losses from crime and paperwork errors will likely persist for the remainder of fiscal 2007.
At the 2007 Wachovia Consumer Growth Conference on Thursday, chief executive Edward R. Anderson said the company’s shrinkage problem largely stems from internal theft rather than shoplifting.
Citi Trends is working on installing more stable management and increasing supervision at stores, but that process will take some time to pay off, Anderson said.
At the end of the second quarter when the company first disclosed the problem, shrinkage accounted for about 2.3% of sales.
Anderson said the company expects shrinkage to be about 2% of sales in both the third and fourth quarters, before any improvement is seen. The company is working toward a shrinkage rate of less than 1.5% of sales.
“We don’t think the shrinkage issue will really be fixed for us until probably next year’s first or second quarter,” Anderson said.
NASCAR driver, Office Depot suit up for charity
DELRAY BEACH, Fla. The Office Depot Foundation, the independent foundation serving as the primary charitable giving arm of Office Depot is partnering with NASCAR driver Carl Edwards to raise money for City of Hope.
According to Office Depot, Edwards will wear a specially-designed firesuit and helmet in the Subway 500 race at Martinsville Speedway on Oct. 21. Following the race, his firesuit and helmet will be auctioned online – with all proceeds going to City of Hope National Medical Center, an advanced biomedical research and treatment facility.
“I think it’s great that Office Depot is giving me that chance to take part in this special auction,” said Carl Edwards. “As a NASCAR driver who is in front of millions of fans each week, it is so rewarding to use this opportunity to help raise funds for such an incredible cause. I hope all of my fans get involved.”
iBiquity relaunches HD Radio learning site
Columbia iBiquity Digital, developer of digital HD Radio Technology, has relaunched its retail sales training Web site, www.hdradiouniversity.com, to educate retail sales people currently selling HD Radio products across the United States.
“The HD Radio category, which now includes a comprehensive listing of all HD Radio products, offers a huge new sales tool for retailers,” said Bernie Sapienza, vp of retail business development for iBiquity Digital. “We have designed HD Radio University to be a straight forward, efficient approach to helping salespeople stay up-to-date on new products and maximize their sales. We intend to work closely with our licensee partners and retail partners, frequently updating the site according to their needs.”
According to iBiquity, the new site covers the basics of HD Radio Technology as well as new advanced features such as the recently announced iPod iTunes Tagging for HD Radio Technology. It includes tips for bringing the features and benefits of the category to the consumer’s attention.HDRadioUniversity.com will add specific product feature details on a SKU-by-SKU basis. Further, the site will be continually updated to capture new developments in HD Radio Technology and HD Radio broadcasting.