Kohl’s will open 40 new stores in 2011 and remodel 100 existing units
Menomonee Falls, Wis. — Kohl’s Department Stores on Wednesday is celebrating the grand opening of nine new stores across seven states: Illinois, New York, South Dakota, Texas, Virginia, Washington and Wisconsin. The chain plans to open a total of approximately 40 stores in 2011.
In addition, Kohl’s continues to invest in its existing store base, remodeling approximately 100 stores in 2011, an 18% increase from 2010.
“We are pleased to be in a position to create more than 1,200 jobs, as Kohl’s continues to grow and build market share in a challenging economy," said Kevin Mansell, Kohl’s chairman, president and CEO. “Additionally, we are investing in our existing store base, to keep the customer experience fresh and exciting, by remodeling 100 stores this year alone."
American Eagle earnings up, CEO to retire
New York –American Eagle Outfitters Inc. officially announced the retirement of its chief executive officer. The chain, which has seen its seen sales falter of late, also posted a 47% rise in profits for the fourth quarter on cost-cutting.
American Eagle said its CEO James O’Donnell, 70, will stay with the retailer until a successor is chosen and will work through the transition period. O’Donnell started with American Eagle as its COO in 2000. He became co-CEO in 2002 and CEO in 2003.
American Eagle’s earnings climbed to $87 million for the fourth quarter, up from $59.3 million a year ago. Last year’s quarter included a $20.3 million loss from stores it has since closed.
Sales in the fourth quarter fell 4% to $916 million. Analysts on average had expected $919.2 million.Same-store sales fell 7%.
Adjusted earnings from continuing operations in the quarter were $87 million, up from $59.3 million a year earlier.
Walgreens selling pharmacy benefits management unit for $525 million
Deerfield, Ill. –Walgreen Co. said Wednesday it is leaving the pharmacy benefits management business, selling its Walgreens Health Initiatives operation to Catalyst Health Solutions Inc. for $525 million in cash. The deal will leave Walgreens free to focus on its drug store network, which is the largest in the United States.
Walgreens’ pharmacy benefits management business has never approached the size of Caremark, the pharmacy benefits management business of CVS Caremark Corp.,
The deal more than doubles Catalyst’s size, bringing its total membership to about 18 million members from 7 million. The Rockville, Md., company said it will handle about 165 million prescriptions a year after the deal is complete, compared to about 80 million previously.
Walgreens and Catalyst expect to complete the deal by the end of June pending regulators approval.