"Get Ready for Mass Retail Closings"

[bavaria]

And this is why on a near daily basis I have to listen to people's questions on if we are going out of business.

"My sister's best friend's cousin's dog heard on yahoo news that you all were going out of business... is that true?" (THEY never hear about it, but hear from some random people about it )

People who continue to spread rumors and half truths are only making it worse. I look back at this past Christmas and wonder how many more gift cards we could have sold if the retailer I work for hadn't been on one of those false lists of businesses in trouble. If you have questions about what is going on with a company go to their websites... many companies will have an "investor relations" area where they break down how the company is doing (at least we do). Also, do some research, do not just take the word of ONE "expert". If people would do this, then maybe I wouldn't have to listen to it anymore.

The Chicken Littles were out in full force here last Nov/Dec. I cannot help but believe that the original email full of rumour and false information was created with malicious intent. Then it was spread by people ill-informed about the truth, or having their own bad intentions.

I don't think that everyone who forwarded or posted that email on the internet was doing it for the best of reasons. Some may have thought that they were truly passing along 'good' information, but I believe that others took pleasure in watching the reactions. I suspected that from some of the posts here as well.

Companies which were never in any danger suddenly found their sales plummeting, and hundreds of thousands of internet users were involved in that mess, intentionally or not. It became a self-fulfilling prophecy.

I travel all around America and I agree that in the past few years there have been 'too many' store openings in many areas. I often wonder who is shopping at all those Walgreens and CVS stores, for instance. A readjustment was required, and every year chains close underperforming stores.

The best thing we can all do is refuse to participate in the spreading of malicious rumours as when these stores do close, they hurt everyone in the local community, not just those who worked there.

 

[MnMomW3Boys]

A lot of these retailers (Tiffany's, Nordstrom) are part of the grow too big for your market problem. Tiffany's would be doing just fine if they were still a destination jeweler for the really wealthy, but why in the world should there be a Tiffany's in Minnesota?

Wow that's a bit offensive to those that live in Minnesota...there are plenty of wealthy people that live in Minnesota, ever heard of the Mayo Clinic, 3M, Best Buy, General Mills or Northwest Airlines? Not to mention we have one of the largest malls on the country, and we like sparkly things too.

 

[kaytieeldr]

That's like my entire mall (besides Tiffany)...

Is there room to put one in, so your mall can break some kind of record?

 

[kaytieeldr]

OK, maybe it going to be the medical field people? But who will have health insurance to pay for their services? And Don’t we already have medical services in India, like doctors reading X-rays and CAT Scans because it’s cheaper?

Um, well, let me think. The last time I had xrays - the beginning of January - I'm 100% positive I didn't go to India to have them taken; and the technician was back in the room way too quickly for her to have gone to India (or, really, anywhere further than the next room) to develop them; and that was about 7 PM; since the doctor's office called me before 9 AM with the results, while I'm sure it's possible the films were transmitted to India to be read... nope, I'm pretty sure that all happened within a half square mile.

So, you see, there ARE medical workers - and tens of millions of workers in other fields, at ALL income levels - in this country, with varying amounts of money they are willing / able to spend.

 

[mamalle]

yes for the most part we do have radiologists in house to read your xrays.. I think we did try some out of hospital network that really screwed up on the readings at one point- it was out of the country... I do hear that some medical transcription companys are from places like India because they bid low... I dictate for a living for various doctors and between that job and my RN job the medical field is quite strong. we are actually having a shortage of nurses that will only get larger as time goes on..

 

[wall*e2008]

i just cant find lots of things i like or fit into at khols . i'm a size 14 and if i do find something its not on sale. I liked mervyns and i also like jcpennys but i've stayed away from shopping . I'm trying to pay off as much of my debt as possible incase i do get laid.

Is that so you can buy new baby items?

 

[crisi]

Wow that's a bit offensive to those that live in Minnesota...there are plenty of wealthy people that live in Minnesota, ever heard of the Mayo Clinic, 3M, Best Buy, General Mills or Northwest Airlines? Not to mention we have one of the largest malls on the country, and we like sparkly things too.

Yeah, I know those people (being marginally well off and having grown up with kids from really wealthy White Bear and North Oaks families, then spending my professional career working with the executives at UHG, Pillsbury, Medtronic, Best Buy). They take Fall and Spring shopping trips to New York and LA.

 

[DisneyMOM09]

I work for one of these two and I can tell you this...we are NOT going out of business; we have very little debt. Sales HAVE been tough, mainly because people are really holding tight to their money. Posts like this DO NOT HELP!!! Also, the author of the article the OP put a link to is a questionable "retail consultant" who is basing his remarks soley on same-store sales declines which ALL retailers are experiencing (other than Wal-Mart) and not on fact...he is NOT invited to analyst meetings and has no access to any financial information on any of the companies he referenced, other than what you and I can access on yahoo financial. People need to relax. How confident am I? I am going to WDW this June!

Remember this...every time someone freaks out and reacts to the endless "experts" that put misinformation out there, we ALL suffer. Look at how WDW is being hit by the recession. If you stop shopping at Sears or Bed Bath & Beyond because you are worried about the economy, their sales fall and they cut their employee's hours; those employees have no money to spend, so they cut out going to Applebees; Applebees cuts hours, so those associates don't have money to buy a car; GM cuts jobs because nobody is buying cars...so on and so on! Lets look at the REAL unemployment rates and the REAL amount of homes in foreclosure. Yes, it is bad, but its not Herbert Hoover time. The media has grasped this and keeps beating the drum of doom and gloom, and we are all laping it up. This country is built on consumerism...just chill and be careful what you post. If I lose my job, it affects my ability to spend, and my lack of spending could cause YOU to lose your job. Remain calm!

I think this is well said. It is a trickle down affect. My husband works as the GM in a family owned restaurant, if people quit eating there then we are in huge trouble and will not be able to shop or eat out to support other businesses. I'm not saying that people shouldn't be saving for a rainy day, but to cut off all of their spending will keep us in this cycle for longer. In my area people are still out in force at the malls and eating in restaurants and for now it seems that we aren't seeing as much of this recession in our area. We have had a few store closings.. Goody's and Circuit City, but we also have lots of new business being built and other business expanding and building new buildings.

 

[ruadisneyfan2]

And Don’t we already have medical services in India, like doctors reading X-rays and CAT Scans because it’s cheaper

I've been an xray tech since 1990; last 10 yrs in mammography. I think this is another one of those things where people hear it happened and people assume it's happening everywhere. You know what happens when we assume....We are a large teaching hospital in Philly and understand the importance of teaching new docs. Without new ones, who will replace the retired? Yes, our docs may read for other smaller hospitals and imaging centers too but nothing is sent to India or any other country.

yes for the most part we do have radiologists in house to read your xrays.. I think we did try some out of hospital network that really screwed up on the readings at one point- it was out of the country... I do hear that some medical transcription companys are from places like India because they bid low... I dictate for a living for various doctors and between that job and my RN job the medical field is quite strong. we are actually having a shortage of nurses that will only get larger as time goes on..

Our transcriptionists have all been replaced by computers... voice recognition dictation. We've had this probably 10 yrs or more. As the radiologist dictates, they can see their words appear on the comp. monitor, make corrections, then sign off on it. The computer generates a printed report that gets mailed to the referring physician. (Biopsy recommendations are told directly to the pt. before they leave then phoned to ref. office.)

The same way that telephone receptionists have been replaced by computers. Press 1 for English and all that crap.... It's rare now to call a business and have a real person answer.

Um, well, let me think. The last time I had xrays - the beginning of January - I'm 100% positive I didn't go to India to have them taken; and the technician was back in the room way too quickly for her to have gone to India (or, really, anywhere further than the next room) to develop them; and that was about 7 PM; since the doctor's office called me before 9 AM with the results, while I'm sure it's possible the films were transmitted to India to be read... nope, I'm pretty sure that all happened within a half square mile.

Well if they are still developing film this won't last long. Everything has gone digital including radiology. (xray film is verrrrrrry expensive as it has silver in it.) We are almost completely filmless, except for when pts. need to take films to a surgeon or they're moving, etc.)
When I take an exposure, my image pops up on my computer in a few seconds, the same way that a digital camera shows you what you took.
We have a satellite screening mammography center a couple blocks away from our main diagnostic center where the docs read. Our images are instantly sent to our reading room down the street.
Technically speaking, it could be sent anywhere, it's digital data. You could email it, put it on a cd, etc. It's the way of the future.

 

[ZPT1022]

I have been an executive for a large retailer for 9 years now, so I have to say this... I am sure that the person who posted this had no rude intentions, but it is incredibly hurtful when people who work retail hear people talking about getting the most out of their gift cards...... How do you think the people that work in these stores feel? Gee… I hope people get to use their $25 gift card before I lose my job!

I really feel for you that your job is threatened but I don't think it's rubbing anyone's face in it to want to make sure that you get to use something you paid for- the gift card in this case. I didn't see anything about getting the most out of it or anything, just using what you have.

If I gave you cash for your birthday with the thought that you would buy yourself something nice, wouldn't you be upset if you waited a month or two to use it on something special and when you went into your wallet to get it, it had disappeared? It's the same thing

 

[rflorek]

I work for one of these two and I can tell you this...we are NOT going out of business; we have very little debt.

I guess you don't work for Penney's since their 2008 financials (released this morning) show about $3.5 BILLION in debt. I thought Sears carried a similar amount of debt, but I don't see their 2008 financials yet.

 

[momof3girls6712]

I do not think there is anything wrong with warning ppl that stores are in trouble and it might effect their gift cards. Who is to say the store won't change its policy on gift cards even if it doesn't close to try and recoop money. Look at how credit card companies are raising rates. I think it is very important to be an informed shopper.

 

[JB2K]

Other big businesses that Yahoo recently put out as ones not likely to make it through 2009 included Blockbuster, Krispy Kreme, Station Casinos, Rite Aid, Rain Forest Cafe, Dollar Rent A Car, Sirrius, and mant other big names.

Since that article was written, Sirius XM received a huge investment from Liberty Media, so no bankruptcy for satellite radio, for the time being.

As for the rest -- it wouldn't suprise me, one bit.

Also, for any Kmart fans, out there -- whenever Sears gets mentioned, you can count on Kmart being right there with them...

 

[nunzia]

Is that so you can buy new baby items?

thanks for the levity

 

[mamalle]

all the hospitals I dictate for still use real people.. I know that since they like to comment about how fast I talk..

 

[dclfun]

Even without the economic woes we face now, I've ALWAYS gone into the mall and shopped in various stores with wonderment at how many items of clothing were sold of a similar type. Who buys all those outfits and what is done with them at the end of a "season" when the style becomes obsolete? Why do we ever need so much variety, so many, such an excess? I was always the Mom that cut off the jeans/pants to make shorts for the kids when they grew too tall but they still fit, etc. I guess I haven't changed my shopping habits much as I often bought nice name-brand gently used clothing for my kids ( now buying the same at thrift stores or on ebay for grandkids) and limited my own professional wardrobe and "home" wardrobe to a small amount of mix/match. Just who was ever buying all the variety of clothing offered each and every season- esp. adult clothing vs for a growing child who changed sizes? IMO there were always too many competing stores at each price point and too many items manufactured. That said, I don't believe it helps to panic either. If I lose my job the money I've saved from curtailing spending at the mall sure won't save me for long.---Kathy

 

[CarolA]

all the hospitals I dictate for still use real people.. I know that since they like to comment about how fast I talk..

My company uses real people who live in the US.

I was in healthcare consulting until very recently and actually can't think of any of my clients who used "off shore" Some looked at it, but no one seemed to bite the bullet.

 

[ruadisneyfan2]

My company uses real people who live in the US.

I was in healthcare consulting until very recently and actually can't think of any of my clients who used "off shore" Some looked at it, but no one seemed to bite the bullet.

It's such a huge liability risk to lower their standards like that. I don't think it's worth it all but then again, I don't pay their bills, so what do I know? Just guessing. There's a lot of competition/reputation building among Phila. hospitals and we have become very centered on patient satisfaction and "brand" loyalty and keeping standards of care as high as possible to be the "best in the business" so to speak.

 

[ZPT1022]

Even without the economic woes we face now, I've ALWAYS gone into the mall and shopped in various stores with wonderment at how many items of clothing were sold of a similar type. Who buys all those outfits and what is done with them at the end of a "season" when the style becomes obsolete? Why do we ever need so much variety, so many, such an excess? I was always the Mom that cut off the jeans/pants to make shorts for the kids when they grew too tall but they still fit, etc. I guess I haven't changed my shopping habits much as I often bought nice name-brand gently used clothing for my kids ( now buying the same at thrift stores or on ebay for grandkids) and limited my own professional wardrobe and "home" wardrobe to a small amount of mix/match. Just who was ever buying all the variety of clothing offered each and every season- esp. adult clothing vs for a growing child who changed sizes? IMO there were always too many competing stores at each price point and too many items manufactured. That said, I don't believe it helps to panic either. If I lose my job the money I've saved from curtailing spending at the mall sure won't save me for long.---Kathy

DH and I were explaining that to DD the other day, that not even very long ago people didn't have the volume of clothing and things that they do now. Things were worn or used til they were no longer functional or repairable. It was only for the very wealthy to have closets and dressers stuffed to the brim with clothes- "normal people" like us would have never been in that position. I wonder when and how the values shifted towards where we are now

 

[crisi]

I guess you don't work for Penney's since their 2008 financials (released this morning) show about $3.5 BILLION in debt. I thought Sears carried a similar amount of debt, but I don't see their 2008 financials yet.

Sears has 2 billion in short term debt as of their last SEC filing - that all needs to get paid back in the next twelve months.

The problem a lot of companies are having is that normally they refinance that short term debt if they need to. With credit being so tight and consumer confidence so low, retailers are having a hard time finding anyone willing to extend them credit. Plus retailers are having to write down a lot of inventory as it doesn't move. That is changing the state of a lot of companies balance sheets - and Sears was carrying a lot of debt to start with (total liabilities of $18B)