Kenneth Cole closing eight stores
New York City — Kenneth Cole Productions is closing its flagship store in Rockefeller Center and eight other stores this year, the company disclosed in a regulatory filing, according to Crain’s New York.
Located in a major tourist hub, the Rockefeller Center spot has been on the market for more than two years, according to real estate brokers, the report said. Kenneth Cole has occupied the 13,000-sq-ft. for about 10 years.
A&P reduces loss, focuses on turnaround in Q3
MONTVALE, N.J.– A&P announced that sales forthe third quarter were $1.8 billion versus $2 billion in last fiscal year’s third quarter. Comparable-store sales decreased 4.9%. The company reported thatloss from continuing operations was $181 million versus last year’s third quarter reported loss from continuing operations of $502 million.
Sam Martin, president and CEO, said, “We saw modest improvement in certain of our third quarter financial results due to the steps we’ve taken to implement our turnaround plan and the continued dedication of our talented associates. Chapter 11 will allow us to restructure our debt, reduce our structural costs, and address our legacy issues. With access to a significant amount of liquidity, we are making strategic decisions that will enable us to complete our turnaround and emerge with a new capital structure and an enhanced ability to provide value to our customers.”
A&P said that under the protection of bankruptcy, which it filed for last month, and a new management team, it continues to implement its turnaround plan. The plan includes reducing structural and operating costs, improving the A&P value proposition for customers and enhancing the store experience, the company said.
In a separate announcement, A&P reported that Hans Heer, GM of The Food Emporium business, has left the company. He has been a member of the company’s executive team since 2006.
Dan Wodzenski, district manager of sales and operations for The Food Emporium, and The Food Emporium’s operations team will report to Paul Hertz, EVP operations at A&P. In addition, The Food Emporium marketing and merchandising team will now report to Tom O’Boyle, A&P EVP.
Starbucks eyes India
New York City — Starbucks Coffee Co. said Thursday that it signed a memorandum of understanding with Tata Coffee Ltd., an Indian coffee bean provider, which will allow Starbucks to source and roast coffee beans at Tata’s Coorg, India facility.
In addition, the deal will allow the companies to "explore the development of Starbucks retail stores in associated retail outlets and hotels," Starbucks said in a statement.
“We believe India can be an important source for coffee in the domestic market, as well as across the many regions globally where Starbucks has operations," said Starbucks CEO Howard Schultz.
Tata has supplied beans to Starbucks in the past.
Although India has traditionally been known as a tea-drinking nation, consumers, especially those in the country’s growing middle class, are increasingly drinking espressos and cappuccino at quick-service cafes that have popped up.