Corporate Governance

Despite a profitable second quarter, 1-800-Flowers.com fell short of expectations.   The company reported a 1.1% revenue growth to $554.6 million for the quarter ending Jan. 1, from $548.4 million the previous year. The company credited its 1-800-Flowers.com and BloomNet segments for the increase, along with modest growth in its Gourmet Food and Gift Baskets segment, and e-commerce growth across the Harry & David, Cheryl’s, The Popcorn Factory and 1-800-Baskets brands, the company said.  

Young children looking for the carousel at Westfield’s Garden State Plaza mall in Paramus, New Jersey, were disappointed this past holiday season. Their older siblings, cousins, and perhaps even parents, were not.  

An Evercore ISI analyst maintained his “buy” rating on Walgreens Boots Alliance stock, stating that although its proposed deadline for a deal with Rite Aid has been delayed, “there is still a chance of a reasonable outcome for both parties.”   The companies pushed back the deadline for merger from Jan. 27 to July 31 and trimmed the purchase price paid to Rite Aid to $6.50 to $7 per share — based upon the number of store divestitures the FTC requires — from $9 per share.  

Athleta’s latest line will provide a premium to the female workforce that created it.   The athleisure brand’s spring collection was manufactured in a factory certified by Fair Trade USA, an organization dedicated to creating social and economic opportunities for factory workers globally. For a product to earn Fair Trade certification, it must originate from a facility that operates according to the rigorous social, environmental and economic standards set in place by Fair Trade USA.   

According to a 2015 Nielsen study, two-thirds of consumers trust consumer opinions over company advertising and rely on peer review sites for insights and advice. However, these sites can cause huge headaches for well-intentioned retailers that incentivize consumers to post glowing reviews or find themselves on the wrong side of a revenge or competitor-sponsored post. When not conducted correctly, these efforts can harm brands and further consumer mistrust.   

On a wind farm near McAllen, Texas, with windmills that stand taller from tip to base than the Statue of Liberty, Home Depot is harvesting enough electricity to power 100 Home Depot stores.   The juice is flowing because of the Atlanta-based retailer’s deal with EDP Renewables North America, a deal that marks Home Depot’s first major investment in a wind-powered renewable energy project. The company says that in addition to supplying power to 100 stores, the deal provides $150,000 in local community benefits.  

Walmart just upped the ante in the home shipping war against its rival, Amazon.    The chain is ending its ShippingPass program, a fee-based, two-day delivery service, in favor of a free two-day shipping program. Shoppers can now order from more than two million items, and have merchandise shipped to their homes or stores without a membership fee.  

Fred’s Pharmacy confirmed its agreement to purchase divested stores remains in effect following Monday’s news that Walgreens Boots Alliance and Rite Aid extended the deadline for their potential merger agreement.  

Alan Young has been named senior VP of Property Management in Minnesota by Mid-America Real Estate. He joined the company’s third-party management operation in 2011.   Young spent nearly six years at GGP earlier in his career, managing a portfolio of 10 regional shopping centers generating more than $100 million in net income. He rose to VP and group director at the company before joining Mid-America as a senior property manager.   Young was named a partner in Mid-America last year.

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Will A. Smith has joined Abercrombie & Fitch Co. as chief marketing officer.   Smith, who will report to president and chief merchandising officer Fran Horowitz, will be responsible for all brand, creative and digital marketing across the chain.