FedEx to Drop Kinko’s Name
Dallas FedEx Corp. said it will change the name of FedEx Kinko’s to FedEx Office, according to the Dallas Business Journal. The name change will take place during the next several years.
FedEx officials said the FedEx Office name better describes the wide range of services available at its retail centers.
The company expects to take a charge of $891 million in its fiscal fourth quarter, which ended May 31. The charge relates predominately to one-time, noncash impairment charges related to the Kinko’s name change and goodwill from the Kinko’s acquisition in 2004.
“The goodwill impairment charge reflects a decline in the current fair value of the FedEx Office unit in light of current economic conditions, the unit’s recent and forecasted performance and the decision to reduce the rate of store expansion,” FedEx said.
FedEx said the name change will occur over the next several years, according to the report.
Staples to offer no-return DVD rentals
FRAMINGHAM, Mass. Staples, according to reports, is offering a new service that allows customers to rent DVDs at its stores without having to return them.
Starting in mid June, customers will be able to rent a limited selection of titles, which are on Flexplay DVDs that automatically erases the content after 48 hourse from opening the inner package. Customers can recycle the DVDs with other plastics.
Linens ‘N Things approved for DIP financing
CLIFTON, N.J. Linens ‘N Things reported that the United States Bankruptcy Court for the District of Delaware entered a final order approving the company’s $700 million Debtor-in-Possession (DIP) financing by General Electric Capital. The approval, granted during a Wednesday, May 28 hearing before Judge Christopher Sontchi, provides LNT with access to the capital necessary to meet its ongoing obligations during the restructuring process.
“We are pleased with the Court’s approval of our financing as it is an important step in our restructuring efforts,” said Michael Gries, chief restructuring officer and interim ceo. “It reinforces our commitment to the vendor community and to providing our guests with the assortment of merchandise and quality of service they have come to expect from Linens ‘N Things.”
Linens ‘N Things filed to reorganize under Chapter 11 on May 2 in the United States Bankruptcy Court for the District of Delaware. Interim approval of the DIP financing was granted on the same day.