News

Wet Seal to close 338 stores, cut 3,695 jobs
Things are not looking up at Wet Seal, which has announced that it will close 338 stores, or about 66% of its total portfolio, “on or about” Jan. 7, resulting in the termination of some 3,695 full- and part-time employees.

The struggling teen apparel retailer said the decision to close the stores was based on its overall financial condition and an inability to negotiate meaningful concessions from its landlords.

The company said the 338 stores represented approximately 48% of its sales for the nine months ending on November 1, 2014.
Ace looks to score sales as sponsor of PGA player
Ace Hardware is set to launch a “Free Store Pickup” program this April and has chosen PGA tour player Hunter Mahan to serve as pitchman for the omnichannel initiative.

The deal with six-time winner Mahan marks the first time the nation’s largest hardware cooperative has teamed with a professional athlete on an endorsement deal.

Online sales set another new record

Americans’ appetite for e-commerce grew again in 2014 with holiday sales slightly exceeding an optimistic forecast by digital measurement firm comScore.

Total desktop online sales for the entire November through December holiday season advanced 15 percent to $53.3 billion, comScore said. Cyber Monday retained its crown as the highest volume day with e-commerce spending of more than $2 billion.
Body Central begins New Year in bad shape

Another mall-based retailer has announced that it is in default and struggling for survival.

Body Central Corp. announced that it is in default on $18 million in debt and is exploring strategic alternatives, the Jacksonville, Florida-based company said in a statement.

The company also said it is experiencing “significant liquidity problems,” and is exploring options, including a possible bankruptcy filing.
Wanted: Chief Omnichannel Officers

Despite strides many retailers made this past holiday season integrating their physical and digital operations, omnichannel remains a highly underdeveloped opportunity for an industry looking to keep pace with shoppers.
J.C. Penney same-store holiday sales up 3.7%

Plano, Texas -- J.C. Penney is reflecting in a post-holiday glow and feeling bullish about its business going forward after reporting a 3.7% increase in same-store sales during the holidays (the nine week period from November through December). The retailer also said that it expects its fourth-quarter comparable sales will be at the top end of its forecast range of a 2% to 4% gain.
Safeway to pay $9.87 million for environmental violations

New York -- Safeway has agreed to pay $9.87 million in penalties as part of a settlement of a civil environmental lawsuit.

The settlement stems from allegations that more than 500 Safeway stores and distribution centers throughout California improperly handled and disposed of various hazardous wastes and materials, ranging from pharmaceuticals and over-the-counter medications to batteries and electronic devices, over a period of seven and a half years.
Report: C. Wonder closing all stores

New York -- The specialty apparel and home goods chain C. Wonder is shuttering its remaining stores, according to Buzzfeed. The company, founded in 2011 by Christopher Burch, ex-husband of Tory Burch, quietly closed a number of its 32 stores in November. It is now closing its remaining locations, 11 in total, the report said.
Don’t Let the Data Breach Grinch Steal Your Reputation or Profits

By Ulf Mattsson, Protegrity
GameStop swaps customer gift cards

Grapevine, Texas – Gamers whose friends and family mistakenly gave them holiday gift cards for retailers that do not sell video games have a new option. GameStop is now exchanging unwanted gift cards from other retailers for a GameStop gift card online and in select stores.

Upon verifying the information and completing the transaction, a GameStop e-gift card is emailed if completed online or a gift card is given if the transaction is completed in-store. Customers can either use the gift cards at any U.S. GameStop store location or online.
Brooks Brothers arranges $250 million TD Bank credit facility

New York – Brooks Brothers Group Inc. has selected the Asset Based Lending (ABL) Group of TD Bank as the joint lead arranger in a $250 million credit facility. The amount of TD’s commitment and terms of the financing were not disclosed.
Brookstone launches new technology marketing campaign

Merrimack, N.H. - Brookstone is unveiling its "I Launched at Brookstone!" marketing campaign to promote new homegrown products, introduce the new tech products from startup companies, and meet startup companies looking for a way to bring their products to market. Brookstone is able to develop and market startup products with in-house design, packaging, marketing, retail, e-commerce and wholesale teams