Saks Q2 misses as loss widens
New York — Saks Inc. on Monday reported a worse than expected second-quarter loss amid disappointing sales of shoes and handbags.
Saks, which last month reached a deal to be acquired by Canada’s Hudson’s Bay Co., had a net loss of $19.6 million for the quarter ended Aug. 3, compared with a net loss of $12.3 million a year earlier.
Overall sales rose 0.5% to $707.8 million for the quarter. Same-store sales rose 1.5%, below the 4.5% increase analysts had expected.
“While the second quarter was our fourteenth consecutive quarter of posting a comparable store sales increase, our sales growth was modestly below our expectations,” Stephen I. Sadove, chairman and CEO, noted.
Saks’ gross margin fell because it had built up too much inventory of men’s and women’s shoes and handbags and had to slash prices to clear unsold merchandise.
The Shoe Gallery improves operational efficiency with Celerant
Staten Island, N.Y. — The Shoe Gallery has stepped up inventory control with the help of Celerant Technology Corp. The chain has been using Celerant’s real-time, retail management system, Command Retail, to manage all areas of its retail operation for the past seven years.
It is also using the supplier’s Style Matrix tool, a three-dimensional graphical representation of all the SKUs by size, width, and color, to improve operational efficiency.
“With the Matrix we can see what we have in stock and what we’ve sold and we can easily buy our most popular items and restock,” said Shoe Gallery CFO Will Brooks. “If we didn’t have the size/width/color matrix, we’d have to revert back to pen and paper and go to the sales floor and stock room to count the inventory before placing reorders. With Celerant, I can look at the Matrix and create a purchase order with ease. It’s saved so much time!”
Coca-Cola Bottlers Association marks centennial
The Coca-Cola Bottlers’ Association is turning 100. To mark the centennial, Bart Gobeil, chief operating officer in Georgia, will present a commendation to the association on behalf of Georgia Governor Nathan Deal, recognizing the impact that CCBA has made in supporting the local communities in which its members operate.
“Since the earliest days of Coca-Cola, our bottling partners have been integral to the Coca-Cola system’s growth and success,” said Steve Cahillane, EVP and president of Coca-Cola Americas. “With the help of the Coca-Cola Bottlers’ Association, our Coca-Cola products are refreshing the world, inspiring moments of optimism and happiness, more than 1.8 billion times per day.”
In addition to the commendation the association is receiving from the governor, three people from the ranks of the bottling community will receive recognition for outstanding contributions to the bottling system by strengthening CCBA, improving the industry, fostering collaboration among bottlers or supporting strategic philanthropy. The awards were created as part of CCBA’s centennial celebration and recipients will be selected from a list of 14 distinguished nominees.
“Throughout the past century, the Coca-Cola Bottlers’ Association has continually developed and redefined the beverage business,” said John Gould, executive director of CCBA. “Now, we eagerly renew our promise for the next century: to enhance the business of our members, to unite the system through new opportunities and challenges and to leave communities better and happier than we found them.”
CCBA has a network of 69 independent Coca-Cola Bottlers operating throughout the United States, which serve local customers. Throughout the past decade alone, CCBA’s foundation has donated more than $30 million to a variety of local charities, including educational institutions and youth organizations that encourage active, healthy lifestyles.
“The Coca-Cola Bottlers’ Association helps empower us as members to leave a positive mark everywhere we do business,” said Claude Nielsen, chairman of the board and CEO, Coca-Cola United, a CCBA member. “As a local face of Coca-Cola, our company is privileged to play an important role in the communities in which we operate and contribute to the success of the world’s most recognized brand.”