Strategy

NEW YORK — JCPenney has asked a New York Federal court to dismiss a lawsuit filed by the visual merchandising firm Hudson + Broad over the Plexiglass LED square frame used in the chain’s new “Fair and Square” branding campaign, Women’s Wear Daily reported.

BENTONVILLE, Ark. — Walmart held its annual shareholders’ meeting Friday morning against the backdrop of the company’s 50th anniversary and allegations of corruption in Mexico.

The seemingly diametrically opposed situations presented senior executives with the opportunity to underscore how the company’s unique culture and such enduring values as integrity would power future growth.

Bensalem, Pa. -- Charming Shoppes reported Friday that net income for the first quarter plummeted 31.7% to $17.8 million, from $26 million in the year-ago period.

Sales dropped 4.6% to $481.3 million, largely due to the shuttering of 157 stores. E-commerce was a strength in the quarter, up 18% over the prior-year period. Same-store sales were flat in the first quarter, including a 1% comparable-store sales increase for Lane Bryant, a 5% comparable-store sales increase for Catherines, and a 3% comparable-store sales decrease for Fashion Bug.

Toronto -- Sears Canada said Friday that it is rolling out a new in-store area called new baby department, located in the Kids Room in 55 Sears Canada stores across the country.

The new baby department in the Kids Room is "organized into five categories that are clearly signed: nursery, travel, activity, feeding and gifting," said Tracy Culleton, VP of The Kids Room at Sears Canada. "The signing also provides all the features and benefits of the product assortment."

New York -- Wal-Mart Stores CEO Mike Duke on Friday called integrity the company’s “bedrock” value during a presentation at the chain’s annual shareholders meeting in Fayetteville, Ark. The meeting was held against the backdrop of allegations of illegal payments made to facilitate growth in Mexico, which Duke addressed directly in the following remarks: “We're working to continually strengthen our compliance efforts around the world,” he said.

New York -- Nike Inc. is trimming its portfolio. The company announced it will sell its Cole Haan and Umbro brands to cut costs and focus on its core namesake brand.

Nike acquired Cole Haan, which specializes in casual and dress shoes, handbags and accessories, in 1988 for $80 million, plus the assumption of $15 million in debt. Cole Haan operates more than 180 stores throughout the United States, Canada, the Middle East and Asia.

Nike bought the soccer gear and apparel company Umbro in 2008 for $565 million.

New York -- Wal-Mart Stores is expected to face scrutiny from shareholders at its annual meeting on Friday in the wake of allegations of bribery  in Mexico.

The allegations are being investigated by the U.S. Department of Justice, the U.S. Securities and Exchange Commission and government agencies in Mexico. Wal-Mart is also conducting an internal probe.
 

Hoffman Estates, Ill. -- Sears Holdings announced that Sears Canada has filed a Registration Statement on Form 20-F with the U.S. SEC in connection with the company’s previously announced plan to spin-off a portion of its interest in Sears Canada.

Pittsburgh -- American Eagle Outfitters announced that Mary Boland has been appointed executive VP, chief financial and administrative officer, effective July 9.

Boland’s responsibilities will include finance, investor relations, merchandise planning and allocation, strategy planning, and other administrative functions. She joins AEO from Levi Strauss & Company where she most recently served as senior VP of finance for Global Levi’s.
 

MINNEAPOLIS — Target reported a 4.4% increase in May same-store sales that was toward the upper end of a guidance range that called for a low-to-mid single-digit increase.