Tween Brands Reports Profit Drop in 3Q
New Albany, Ohio Tween Brands said it lost $0.8 million in its third quarter ended Nov. 1, compared with a profit of $13 million a year earlier.
The loss took into account an $11.5 million restructuring charge related to the company’s move to convert about 560 of its 587 Limited Too stores to its Justice nameplate.
Tween Brands told shareholders earlier it expected that job cuts, the removal of Limited Too signs and costs related to closing 26 stores not being converted to Justice would lead to an $18 million charge in the second half. Justice after the conversion will have more than 900 shops, up from 310 before the move.
The company said its revenue fell 2.5% to $254.3 million from $260.9 million a year ago, while same-store sales fell 11%. Limited Too operations saw a 13% same-store sales decline while same-store sales for Justice were off 4%.
That was the first decline in Justice’s nearly half-decade existence, but CEO Michael Rayden said the company continues to count on the chain to help Tween Brands “proceed from a position of strength when the storm clears.”
Bath & Body Works exec joins Timex board
MIDDLEBURY, Conn. Timex Group B.V. announced that Camille McDonald, Bath & Body Works’ president of brand development and merchandising, and a 30-year veteran of the beauty industry, has joined the company’s board of directors.
“Camille McDonald is a prolific and multidimensional leader whose competencies and experience encompass product and brand development, sales, integrated marketing functions and general management—in both broad-based and luxury segments—for wholesale as well as retail businesses,” said Anette Olsen, chairman of Timex Group. “We are excited to welcome her to the Timex Group board of directors.”
Since joining Bath & Body Works in August 2004 as evp of brand development and merchandising, McDonald has worked with cross-functional teams to reinvent the multibillion dollar personal care specialty retailer into a beauty juggernaut of the world’s best and biggest brands in fragrance, skin care, hair, apothecary and spa. During her time with the company, Bath & Body Works has delivered a record performance.
Walmart draws attention to food deals
BENTONVILLE, Ark. Walmart announced that as part of its Operation Main Street program, it will reduce food prices every week to help offset the cost of Christmas. According to the company, this will save Americans more than $200 million over and above its everyday low prices this holiday.
To alert shoppers about its latest savings, Walmart has launched “Saving Alerts,” a service that enables customers to learn about the latest discounts via free text messages to their cell phones. In addition, Walmart’s Ad Match policy assures customers that their Walmart will match any local competitor’s advertised price on the exact same item, alleviating the need for shoppers to drive all over town to get the very best value.
“We want all customers shopping our food aisles this season to know the trust they have in us to help them save money is well placed,” said Jack Sinclair, evp of grocery, at Walmart Stores US. “Last year we saved families an average of $700 on the same packaged grocery items sold at other supermarkets. We plan to keep on helping families stretch their dollars this holiday with prices that make a meaningful difference to their budget.” .