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VeriFone to acquire Hypercom

BY CSA STAFF

San Jose, Calif. — VeriFone Systems, a global leader in secure electronic payment solutions, and Hypercom Corp., the high-security electronic payment and digital transactions solutions provider, Wednesday announced a definitive agreement under which VeriFone will acquire Hypercom in an all-stock transaction valued at approximately $485 million, including net debt assumed by VeriFone.

“Consistent with our vision as a global leader in secure electronic payment solutions, we have placed strategic focus on replicating our North American success in key markets in continental Europe,” said VeriFone CEO Douglas G. Bergeron. “Hypercom has established itself in a number of important European markets, and this acquisition is an excellent and complementary way for us to accelerate our overseas growth, increase innovation and build value for our shareholders.”

The transaction is subject to approval by Hypercom shareholders and customary regulatory approvals, and is anticipated to close in the second half of 2011.

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Target profit rises 22.6%, sees strong holiday

BY CSA STAFF

Minneapolis — Target Corp.’s fiscal third-quarter earnings rose 22.6%, beating analysts’ estimates, boosted by improvements in its credit-card business and rising food sales. The chain also projected a strong holiday, saying it expects an important sales measure to rise more sharply than it has in three years. It is hoping to lure more shoppers during the holidays with its updated store layout and a new credit-card program that offers 5% off all purchases.

“Based on our merchandising and marketing plans, combined with the expected impact of REDcard rewards and our newly completed remodel program, we expect Target’s fourth quarter comparable-store performance will be the best of any quarter in the last three years," CEO Gregg Steinhafel said in a statement.

Target posted net income of $535 million in the quarter ended Oct. 30, up from $436 million in the year-ago period. Revenue rose 2.2% to $15.61 billion.

Within its credit-card segment, profit increased to $130 million from $60 million a year ago, as bad debt expense declined 64% to $110 million, from $301 million in same period last year.

At Target’s retail segment, revenue increased 3% to $15.2 billion. Same-store sales rose 1.6%.

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Calling All FASB Comments

BY Katherine Boccaccio

In the November issue of Chain Store Age (page 28), leasing specialist Bill Bosco discussed what is being called the biggest threat to retailers’ earnings: the Financial Accounting Standards Board’s (FASB) proposed new rules for lease accounting.

According to Bosco and other experts, the new rules will essentially turn operating leases into capital leases for accounting purposes, wreaking havoc on retailers’ bottom lines.

As an example, for Walgreens, which operates more than 8,000 locations, the potential impact of the new rule could increase the cumulative lease cost on its balance sheet by $2.6 billion or more. Pre-tax earnings could drop by 50% in the first year under the proposed rule change.

The rules are nothing more than a proposal at this point. Changes can still be made, but only if retailers become vocal. It is critical, urges Bosco, for all retailers to become informed about the proposed changes and then to send in comments to FASB. The deadline to write a comment letter to FASB is Dec. 15, 2010.

Click here for a link to comment letter guidelines.

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S.Wong says:
Dec-21-2013 07:16 am

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S.Wong says:
Dec-21-2013 07:16 am

Printing is a process for reproducing text and images, typically with ink on paper using a printing press. It is often carried out as a large-scale industrial process, and is an essential part of publishing and transaction printing. Toronto Printing | Calgary Printing | Edmonton Printing | Winnipeg Printing | Ottawa Printing

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