Talbots to Eliminate COO Post, Cut 9% of Corporate Staff
Hingham, Mass. Talbots Inc. plans to eliminate the post of COO and cut its corporate staff by 9% in a move to save $14 million a year.
Talbots said COO Philip Kowalczyk will leave his post in early July. His duties will be taken over by other executives, the company said in a regulatory filing.
The company said the job cuts will cost about $5.9 million. It already booked $2.1 million of that in restructuring charges in the first quarter, when it reported a 69% drop in profit.
Talbots plans to take the remaining $3.8 million charges in its second-quarter results. The company said it expects to incur additional costs in 2008 related to a broader restructuring aimed at reducing operating costs.
Yahoo! launches online retail ad program
NEW YORK Yahoo! has launched Yahoo! Circular, a program that enables retailers to reach potential shoppers using Yahoo!’s Smart Ads technology which automatically generates customized advertising based on users’ preferences.
The program is intended to supplement existing newspaper-based marketing programs for retailers by delivering other key benefits like incremental reach, cost efficiency, flexibility in regional pricing and product availability, as well as the opportunity to deliver advertising throughout the week – not just on Sundays when circulars appear most often.
“The largest driver of in-store traffic for retailers has traditionally been the print circular, and the Yahoo! Circular program is designed to enhance that,” said Steven Feuling, category development officer for Yahoo!. “Harnessing our deep insight into user interests, Yahoo! can help retailers speak to consumers on a level that is more personal and engaging by putting just the right products and marketing messages in front of an interested shopper at just the right time.”
As part of the program, Yahoo! Circulars will be powered by content from ShopLocal, the leader in multi-channel shopping and advertising services. ShopLocal helps retailers drive in-stores sales by converting their local print promotions and Sunday circulars into engaging and dynamic online formats. Yahoo! will take these localized promotions one step further by presenting personalized promotions to consumers across the breadth of the Yahoo! Network.
Costco May comps down 1%
Costco reported net sales of $5.47 billion for the month of May, a decrease of 5% from $5.77 billion in the same four-week period last year.
U.S. comparable-store sales, excluding the impact of gasoline, were down 1%.