Lenox Group, the maker of tableware and gifts, filed for Chapter 11 bankruptcy today. The company is trying to sell itself and expects to continue operations during the bankruptcy process. CEO Marc Pfefferle insisted that the company is "fundamentally sound" and "conducting business as usual," but that it had been overwhelmed by debt problems and current market conditions.
consumer products: November 2008 Archives
Many large retailers are announcing cutbacks in store openings for 2009. Staples is planning to limit capital spending and reduce store openings by by 30% next year, while Coldwater Creek revised its 2009 store openings plan to 15 stores rather than 40. Other retailers will be considering similar approaches, which will be noted in this space as they are announced.
Major pharmacy chains are making major moves as the economy shifts.
Walgreen is undergoing a substantial restructuring in order to trim costs. The Wall Street Journal reported last week plans for the chain to overhaul much of its business--suppliers, jobs, stores and pharmacies--to improve performance. Among other initiatives, it hopes to centralize prescription processing to aid its pharmacists and reduce expenses.
Meanwhile, CVS is launching its upscale beauty store concept, called Beauty 360, in Washington DC this week. The store-within-a-store includes premium and niche beauty brands and personal services like manicures and facials. Beauty 360, which was announced in August, probably began its planning in 2007 or 2006, long before the credit crisis. The retailer is committed to the concept and is looking to open as many as 50 pilot stores with the upscale merchandise.
