Supply Chain & Merchandising

Fresh on the heels of its announced $17.2 billion acquisition of Rite Aid, Walgreens Boots Alliance reported fourth-quarter net earnings of $26 million Wednesday — compared to a $221 million loss during the same period last year — and finished significantly ahead of analyst expectations. Net sales climbed almost 50% to $28.5 billion during the quarter, which ended August 31.

There has been a bit of controversy lately regarding Urban Outfitters' recent request that some of their salaried employees “volunteer” to fill normally hourly roles in fulfillment centers and retail outlets. The labor community and their activist friends have been crying foul over what they perceive is the manipulation of salaried junior managers by forcing them to work “hourly” jobs and getting no additional pay or benefits.

Two leading retailers highlighted different aspects of their digital customer experience efforts at the recent SAP Retail Forum in Miami.

Keri Stelle, director, Target Technology Services, said Target Corp. is trying to modify its entire corporate culture to respond to changing needs of the new digital customer in a session titled, “Who is the Evolving Target Guest?”

“It’s not just about Mom anymore,” said Stelle. “Today, the entire family wields influence over the retail purchase.”

Instacart will be opening a temporary online Halloween pop-up shop.

Customers in Chicago, Los Angeles and San Francisco will be able to receive same-day delivery of costumes until supplies last. Instacart successfully piloted the Halloween shop in Seattle in 2014.

Instacart will charge its normal delivery prices for the special program: $3.99 for a two-hour delivery, and $5.99 for a one hour delivery when customers spend $35 or more. First-time Instacart users can have their costume delivered for free, as can Instacart express members.

Velocity Retail Group, a full-service commercial real estate services company based in Phoenix, has secured a 10-year lease for Beall’s Outlet.

Beal’s Outlet will join the lineup at Westporte Village in Glendale, Arizona. The 23,600-sq.-ft. space is slated to open in November 2015. Velocity Retail Group VP Michael Clark and associate VPs Larry Miller and John Jackson represented the landlord. Newmark Grubb Knight Frank represented the tenant.

Walgreens Boots Alliance and Rite Aid Tuesday evening announced that they have entered into a definitive agreement under which Walgreens Boots Alliance will acquire all outstanding shares of Rite Aid for $9 per share in cash, for a total enterprise value of approximately $17.2 billion, including acquired net debt.

Ikea plans to install a solar energy system atop its Las Vegas store, opening summer 2016.

Panel installation will begin this winter, with completion expected in spring for what Ikea says will be the largest single-use rooftop solar array by a retailer in the state of Nevada. The 351,000-sq.-ft. future Ikea Las Vegas, and 1,300 parking spaces, currently is under construction.

Coach says increased demand for its merchandise and fewer discounts led the luxury goods maker and retailer to report increased profit in the first quarter despite a steep 9.5% drop in same-store sales.

The company said that for the first quarter ended Sept. 26, earnings were 41 cents a share (analysts expected 40 cents). Net income fell 19% to $96.4 million. Sales dropped 0.8% to $1.03 billion in the quarter, missing analysts’ $1.04 billion projection.