updates: January 2009 Archives

Starbucks is closing 300 more stores to deal with slower sales. The announcement comes just six months after the coffee chain announced 600 store closings and a focus on business essentials. Two hundred of the new stores are in the United States, the rest international.

Starbucks, which is fighting mightily to maintain its growth and profitability in the wilted economy, has embarked on numerous initiatives in recent months to boost its brand image. The company has offered free coffee in exchange for pledging five hours of volunteering or voting in the presidential election.

Its stores are gone, but the licensing deal is complete. The Sharper Image brand transformation is underway. A consortium of private-equity firms is managing a transition intented to leverage the Sharper Image equity despite the failure of its retail business. The plan is to offer relatively affordable products at popular stores like Bed Bath & Beyond while maintaining the aspirational nature of the Sharper Image name.

Shaper Image, which closed its retail outlets in June, first sold its name to Homedics under the licensing agreement now underway.

Jeweler Christian Bernard, which filed for bankruptcy in December, has had its liquidation plan approved and is reopening its stores to clear out merchandise. The company closed all its doors when it filed Chapter 7 the day after Christmas.

Having failed to find a buyer, Circuit City is expected to announce its liquidation today in a court hearing. The company appears to have hired a liquidator and completed an asset auction. Circuit City has already closed around 20 percent of its stores as part of its previous bankruptcy filing.

Contrary to earlier reports, Goody's Family Clothing is liquidating assets next week, just months after reorganizing. The company, which was in Chapter 11 from June to October, was unable to quell its lenders and continue operations.

Goody's is owned by the same holding company as KB Toys and Whitehall Jewelers, all of whom have ceased operating in the past five months.