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Home Depot donates to Gustav relief efforts

BY HBSDEALER Staff

Home Depot has donated $300,000 to help American Red Cross efforts to pre-empt potential damage from Hurricane Gustav, as well as help provide relief to people affected by the storm.

Though Hurricane Gustav weakened and changed direction before it hit New Orleans, the lead-up to the storm caused one of the largest mass evacuations in U.S. history — around two million people left Louisiana prior to Gustav’s landfall. Still, damage along Gulf coast from Texas to Louisiana has been estimated at more than $4 billion.

Other areas, including Florida and the Outer Banks of North Carolina, could be subject to damage as Tropical Storms Hanna, Ike and Josephine near the southeastern shores of the United States.

While the Home Depot Foundation donated funds to the Red Cross for disaster preparation and relief, the Homer Fund, a charity for Home Depot associates in need of emergency financial assistance, donated $500,000 to 650 associates and their families within the first 48 hours of Gustav’s landfall. According to the retailer, company volunteers activated the Homer Fund call center over the Labor Day weekend to respond to impacted associates’ needs.

In addition, Home Depot brought in relief workers to help staff the stores in the affected areas — the company has coordinated the transport and lodging for nearly 400 relief associates so far.

Home Depot closed 31 stores in Louisiana, Mississippi and Texas in accordance with mandatory evacuations as a result of Hurricane Gustav. More than half of those stores have reopened as of Tuesday.

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Walmart kicks off ‘Game Time Headquarters’

BY HBSDEALER Staff

Just in time to capitalize on the traditional fall football frenzy, Walmart has transformed more than 1,700 of its Garden Centers into “Game Time Headquarters” — a department aimed at tailgating enthusiasts.

Beginning the last week in August and running through Sept. 30, select stores have customized their Garden Centers for fans of local college or professional football teams with everything from team merchandise and decor to game-time snacks and beverages.

The goal? To capitalize on the $20-billion-dollar tailgating industry.

Among the products the Bentonville, Ark.-based retailer is merchandising are hats, T-shirts, charcoal grills and coolers, as well as food items like hot dogs, chicken breasts, chips, potato skins and soda. There are team logoed coffee mugs for $15, arm chairs for $20, jerseys for $30 and gazebos for $157.

“I think it’s a great idea, especially for a seasonal business,” said John Largent, who founded the American Tailgater’s Association in 2003. “The beginning of football season is a pivotal time for tailgaters to buy new grills, accessories and other items. It’s exciting to see Walmart recognize tailgating as an industry and a viable marketing opportunity.”

According to tailgating.com, 42 percent of tailgaters spend more than $500 each season on food and supplies. Walmart says it can provide a group of four with everything it needs to tailgate at six home games this season for about $66 per game — a savings of more than $100 for the season.

“With 36 million tailgaters in the U.S., the kickoff to football season is now one of our favorite all-American pastimes,” said Janet Bareis, vp-corporate marketing for Walmart. “But we know our job on the team is to make sure tailgaters don’t spend a dime more than they need to — that’s why we’ve put together some winning prices all in one place in the store.”

According to Largent, Walmart won’t be facing too much competition in the marketplace. While there are Web sites that specialize in tailgating equipment and some sporting goods stores and supermarkets that devote space to it on a seasonal basis, Walmart is the first major retailer to target the industry, he said.

Keith DeWolf, manager of Home & Garden Showplace, the garden center division of True Value, declined to comment on Walmart’s announcement, but he did say there is a place for this type of creativity within the diverse garden center industry. “There are some garden centers that would definitely have the space for [a tailgating section],” he said. “If they’re in the right location, it might be a good side business.”

As part of the Walmart promotion, the company also launched a new product called the Game Time tailgate planner, a widget that allows users to download a team’s schedule and create and send e-mail invitations to friends for game day events and tailgating parties.

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Fastenal settles labor dispute

BY HBSDEALER Staff

Winona, Minn.-based Fastenal has reached a preliminary class action lawsuit settlement agreement with a group of assistant general managers.

The employees had alleged violations of the Fair Labor Standards Act, as well as state labor laws in California, Oregon and Pennsylvania.

Further claims, made by California employees specifically, argued the company did not give sufficient meal breaks and paid rest periods to assistant general managers, a violation of the California Labor Code.

The company will pay $10 million to “fully resolve all claims,” according to a statement. Fastenal said it doesn’t expect the settlement to affect its operational results next month.

Fastenal operates 2,289 construction and industrial supply stores in the United States, Canada, Puerto Rico, Mexico, Singapore, the Netherlands and China.

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