Each week, we highlight five articles of interest focusing on the retail/consumer space. Enjoy.

Timing, Weather Help March Sales Click to Open PDF
We’re close to the same juncture as in the past two years when folks were overly excited about a top-line trend that eventually sputtered in Q2.
Published: Thursday, April 4, 2012
Source: WWD

Groupon Reveals Weak Controls Click to Open PDF
In our view, all this tells us is that everyone was fully aware of the control weaknesses and the aggressive accounting… including the CEO.
Published: Monday, April 2, 2012
Source: WSJ (more…)

Each week, we highlight five articles of interest focusing on the retail/consumer space. Enjoy.

True Religion Wins $863.9M Cybersquatting Suit Click to Open PDF
Good luck collecting the award. But, interesting nonetheless. While the same lawyers represented TRLG as RL and VFC, the damage award was 11X greater for TRLG.
Published: Wednesday, March 30, 2012
Source: WWD

Best Buy Forced to Rethink Big Box Click to Open PDF
While this week’s strategic initiatives are welcome, the BBY management may have been the last to have realized that their big-box strategy was so 1990′s. A majority of these initiatives would likely have been implemented 18-24 months ago if the company were under the direction of a more forward thinking management team.
Published: Wednesday, March 30, 2012
Source: WSJ (more…)

Each week, we provide a PDF of 5 articles of interest to investors focus on the retail/consumer space. Enjoy.

Can McDonald’s Keep Up the Pace? Click to Open PDF
Let’s see. Retirement announced suddenly and Mr. Thompson unavailable for an interview. Something’s filet-o-fishy here. But, how the company successfully delivered 106 consecutive months with comp sales increases is remarkable.
Posted: Thursday, March 22, 2012
Source: WSJ

China Factory Activity Slows, Stoking Market Fears Click to Open PDF
Manufacturing slows in China just as the picture improves here in the U.S.
Posted: Thursday, March 22, 2012
Source: WSJ

Amazon Faces Taxing Times Click to Open PDF
AMZN begins collecting sales tax here in California beginning in September. Do investors want to stick around and see how this plays out?
Posted: Thursday, March 22, 2012
Source: WSJ

The Goal: A Perfect First-Time Fit Click to Open PDF
According to this article, 20% to 40% of all online purchases are returned. Ouch!
Posted: Wednesday, March 21, 2012
Source: WSJ

Taubman to Open Regional Mall in Utah Click to Open PDF
The first regional mall to open in the U.S. since 2006… and the only reason this project made it across the finish line was large investment by the Mormon Church.
Posted: Tuesday, March 20, 2012
Source: WWD

Each week, we provide a PDF of 5 articles of interest to investors focus on the retail/consumer space. Enjoy.

McDonald’s, Carrefour Apologize to Chinese Consumers Click to Open PDF
Interestingly, MCD’s egregious error in China was allowing chicken wings to be sold after being left on a warming tray for 84 minutes (versus a limit of 30 minutes). Clearly, regulators are much tougher in China than they are here in the U.S.
Posted: Friday, March 16, 2012
Source: WSJ

Abercrombie & Fitch Stock Weakness Invites Speculation Click to Open PDF
The stock is weak for a reason. ANF management has failed to deliver on their financial forecasts of late. We’ll go on the record as saying that we’re highly skeptical ANF delivers EPS north of $3.00 in the current fiscal year (guidance = $3.50 to $3.75).
Posted: Thursday, March 15, 2012
Source: WWD

Concern Hits Penney’s Stock Click to Open PDF
Congrats to Mr. Grom of Deutsche Bank. It’s rare to find an analyst that even implicitly criticizes a management team. We do it regularly. But, at the traditional sell-side shops, not so much. In our view, JCP is going to be one of the biggest flops in retailing history (relative to the hype it generated in the investment community).
Posted: Wednesday, March 14, 2012
Source: WWD

American Apparel Faces Crunch of Debt, Losses Click to Open PDF
They’re still kicking. While it’s debt levels are higher, it’s worth noting that the adjusted EBITDA of $14.5M in FY 2011 was greater than CWTR (-$34.2M per our calculation), CTRN ($8.8M per our calculation), NWY ($5.0M per our calculation), OSTK (-$1.2M per our calculation), and PSUN (-$31.8M per our calculation).
Posted: Wednesday, March 14, 2012
Source: WWD

Retail Apparel Prices Slip in February Click to Open PDF
While prices declined in February 2012 versus January 2012, it’s worth noting that all apparel prices were +4.2% higher in February 2012 versus February 2011.
Posted: Friday, March 16, 2012
Source: WWD

Each week, we provide a PDF of 5 articles of interest to investors focus on the retail/consumer space. Enjoy.

Industry Imports Dip in January Click to Open PDF
Apparel imports in January 2012 were flat versus LY. But, apparel imports from China (+3.6%) and Vietnam (+5.9%) were higher than LY. It appears that Central American imports are on the decline.
Posted: Sunday, March 11, 2012
Source: WWD

Bountiful Harvest Leaves Coffee Cold Click to Open PDF
Brazil, the world’s top coffee grower, is on track to produce a record crop. Coffee futures are at their lowest level since October 18, 2010.
Posted: Wednesday, March 7, 2012
Source: WSJ

Panera Boosts Ad Budget as ‘Fast Casual’ Heats Up Click to Open PDF
What’s interesting here is the quote from Founder/Chairman Ron Shaich. In response to the company’s increasing advertising budget, he suggests that “the reality is, if you do nothing, you’ll be at a negative.”
Posted: Wednesday, March 7, 2012
Source: WSJ

Macy’s Brass Slings Zings at Penney’s Click to Open PDF
The CFO at M suggests that even if what JCP is doing is right…”It’s going to be a tough year.” She believes that M and others will have a “decent year” as a result of all the change and dislocation at JCP.
Posted: Wednesday, March 7, 2012
Source: WWD

India to Stop Cotton Exports with Immediate Effect Click to Open PDF
By the end of the week, the Indian government began to reconsider (see second article attached). But, this shows how precarious the supply of cotton can be and short-term dislocations are certainly likely in the future.
Posted: Monday, March 5, 2012
Source: WWD