Talbots’ 2Q Loss Swells to $25 Million
Hingham, Mass. Talbots Inc. said Wednesday it lost $25 million in its second quarter ending Aug. 2, nearly doubling year-ago losses as sales fell 8% and restructuring charges mounted. Talbots lost $13.3 million in the year-ago quarter.
Excluding losses on its Talbots Kids, men’s and U.K. businesses and restructuring charges, the retailer would have lost $18.3 million in the latest period.
Revenue fell 8% to $528 million from $572.3 million a year earlier.
“This was a challenging quarter to drive top-line sales, predominantly due to the change in our Talbots brand annual June clearance strategy, coupled with a difficult macro environment,” said Trudy F. Sullivan, president and CEO, in a statement.
“While a year-over-year shortfall in retail sales impacted the quarter, results were largely offset by the Talbots brand merchandise gross margin expansion,” she added. “However, given the heavy inventory position of the J. Jill brand, we took aggressive markdowns during the quarter, which hurt gross margin and our second quarter total company operating performance.”
Same-store sales fell 12% in the quarter. Sales for Talbots brand items fell 11.7%, and J. Jill brand sales fell 13.2%.
J.M. Smucker announces new promotions
ORRVILLE, Ohio The J.M. Smucker Company has announced several promotions.
Timothy Smucker’s title has been changed from chairman and co-ceo to chairman of the board and co-ceo.
Richard Smucker’s title has been changed from president and co-ceo to executive chairman and co-ceo. He will also continue in his capacity as president of the company.
Vincent Byrd was promoted from senior vp of its consumer business to president of the newly created coffee strategic business area (SBA).
Steven Oakland was promoted to president of the consumer business.
Mark Smucker has been promoted to president of the special markets SBA which includes the company’s foodservice and beverage groups as well as its Canadian and international operations after serving as vp of international. Smucker has been with the company for 11 years.
Paul Smucker Wagstaff, also great-great grandson of founder Jerome Smucker, has been promoted from vp of foodservice and beverage markets to president of the oils and baking SBA. Wagstaff has been with Smucker for 12 years.
Barry Dunaway, formerly vp of corporate development, has been named senior vp of the newly created corporate and organization development office with combined responsibility for mergers/acquisitions and human resources.
La-Z-Boy elects directors
MONROE, Mich. La-Z-Boy announced that its shareholders have elected directors Kurt Darrow, James Johnston, George Levy, M.D. and Alan McCollough to three-year terms on the company’s board of directors.
Shareholders also voted to ratify the selection of PricewaterhouseCoopers LLP as the company’s independent registered public accounting firm for fiscal 2009.