Heilig-Meyers has a tough time making it in the city

Article Abstract:

Heilig-Meyers Co blamed losses at its urban Rhodes furniture store chain for a 5.4% drop in its FY 1998 2nd qtr income. Small-town retailer Heilig bought Rhodes's 101 stores in Dec 1996, intending to move them upscale to compete with such rivals as Ethan Allen Interiors Inc. Heilig spent $4 mil sending a Rhodes catalog to 2 mil homes, but Rhodes lost $10.4 mil after tax for the first half of FY 1998. Rhodes has only 40 weak stores and may show a modest profit in the second half, Heilig says. If sales stay weak, the 40 low-performing stores may be changed to less expensive Heilig-Meyers or RoomStore outlets, according to company officials.

Comment:

Tries to move upscale with urban chain, but Rhodes's losses bring a 5.4% drop in 2nd qtr FY 1998

Furniture & Furnishings Stores, Furniture and Home Furnishings Stores, Geographic, Positioning, Direct Marketing, Heilig-Meyers Co.

---

Russell's new CEO is looking to make rivals sweat

Article Abstract:

Russell Corp's new cheif executive officer John "Jack" F. Ward has forced the 96-year-old maker of athletic wear to change as competitors cut prices. Ward moved sewing offshore and put more emphasis on marketing. Ward's plan calls for closing around 25 of the company's 90 plants and other facilities. He intends to eliminate 4,000 jobs, or 23% of the work force. Ward estimates that these and other cost cutting plans will yeild annual savings of $50 million to $70 million within three years. Russell's stock has jumped 16% since Ward's appointment was announced April 1, 1998.

Comment:

Russell's new CEO is forcing the company to play a new game

Knit Goods, Apparel Knitting Mills, Russell Corp.

---

Home Depot posts 30% rise in net for second period

Article Abstract:

Home Depot Inc. posted a 30% increase in its net income for the fiscal 1998 second-quarter. The improved figures show that Americans are continuing to spend a great deal of money on improving their homes. Home Depot posted $467 million in net income for the period ending August 2, 1998. During the same period in 1997, the company's net income was $358 million. Home Depot's quarterly sales improved by 24% to $8.14 billion.

Comment:

Posts a 30% increase in its net income for the fiscal 1998 second-quarter

Sales, profits & dividends, Building Materials, Retail, Building Material and Supplies Dealers, The Home Depot Inc.

Similar abstracts:

• Abstracts: This time, it's the Barbarians at the Web; Zapata makes surprise bid for search firm. This time, it's the barbarians at the Web: Zapata makes surprise bid for search firm
• Abstracts: Cargill searches for a corporate identity. Monsanto's cost-cutting steps to raise cash for seed-company acquisitions
• Abstracts: Fedex pilots decide to end strike threat; delivery will not be disrupted next month
• Abstracts: Researchers say Hoechst drug may be treatment for cocaine, nicotine addicts. Healthy women can use cancer drug
• Abstracts: MedPartners cuts earnings targets; stock drops 12.5%. PhyCor lowers earnings expectations, citing weak results from acquisitions

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.