Sears fourth-quarter income sinks 47 percent
Hoffman Estates, Ill.-based Sears Holdings reported net income and sales down for the fourth quarter and year ended Feb. 1.
For the quarter, the company reported net income of $426 million, down 47.5 percent from $811 million in the prior-year quarter. Net sales were $15.1 billion, down 6.8 percent from $16.1 billion in the previous year.
Net income for the year was $826 million, down 44.6 percent from $1.5 billion in the same quarter last year. Sales for the year were $50.7 billion, down 4.3 percent from $53 billion from last year.
Domestic comparable-store sales declined 4.5 percent for the quarter, with Sears Domestic declining 4 percent and Kmart declining 5.2 percent. For the year, domestic comparable-stores sales declined 4.3 percent, with Sears Domestic declining 4 percent and Kmart declining 4.7 percent. The company also reported a more pronounced decline in comparable-store sales in the month of January.
“Our fourth-quarter and full year results continued to be negatively impacted by the worsening economic conditions faced by both our customers and competitors, as well as increased markdowns taken to clear excess inventory,” said W. Bruce Johnson, Sears Holdings’ interim CEO and president. “Given the challenging retail environment, we will work to improve and tighten our management of costs and inventory levels in 2008.
“Further, we believe that our recently announced restructuring will position us to navigate the difficult conditions that lie ahead and operate our businesses more efficiently and effectively,” he added.
The company also stated that the results were partially offset by improved operating results at Sears Canada.
Hardlines technology forum slated for April
The Hardlines Technology Forum (HTF), an annual gathering of the industry’s information technology and supply chain executives, has announced its lineup of retail panel participants for the April 21 to 24 event.
Appearing at the panel, which will be held on April 23, are Greg Linder, director of supply chain operations for True Value; Brett Hammers, vp-marketing for Orgill; Michelle Adams, director of merchandise operations planning for Lowe’s; and Kay Williams, vp-information technology for Do it Best.
The keynote presentation this year, “Mastering Your Supply Chain,” will feature Ernest Nichols, director of the FedEx Center for Supply Chain Management, and Dick Raman, president and CEO of TIE Commerce.
New to the conference this year is an educational track devoted to the business-side IT professional and presentations by Lowe’s, True Value and Do it Best on how to be a successful trading partner with their companies. Other sessions planned for the five-day conference deal with topics such as EDI, data synchronization, utilizing POS info and chargebacks.
The HTF, sponsored by the American Hardware Manufacturers Association (AHMA), will be held at the Peabody Memphis Hotel in Memphis, Tenn.
Home Depot names new board member
Albert Carey, former president and CEO of PepsiCo’s Frito-Lay North America division, has been named to the Home Depot board of directors.
The appointment brings the number of directors at Home Depot to 15.
Carey, 56, will serve as a member of the retailer’s audit and infrastructure committees.