Random Business News

[easye]

Well, a thread to talk about things shaking up the world of business! Exciting. 

www.npr.org/2023/03/07/1161295820/how-barnes-noble-turned-a-page-expanding-for-the-first-time-in-years

How Barnes & Noble turned a page, expanding for the first time in years

After years on the brink of extinction, the book chain is planning to open some 30 new stores this year. Many are returning the retailer to areas it previously abandoned. In a few, Barnes & Noble is even taking over former Amazon bookshops.

Maybe they can fund their own spaceship next! 

[easye]

Adidas reports a $540M loss as it struggles with unsold Yeezy products

www.npr.org/2023/03/08/1161905306/adidas-ye-kanye-west-yeezy-loss

FRANKFURT, Germany — Adidas' breakup with the rapper formerly known as Kanye West and the inability to sell his popular Yeezy line of shoes helped batter earnings at the end of last year, leading to a net loss of 513 million euros ($540 million).

The fourth-quarter loss, also attributed to higher supply costs and slumping revenue in China, contrasts with a profit of 213 million euros in the same period a year ago, the German shoe and sportswear maker said Wednesday.

More losses could be ahead as the company forecast a 500 million-euro hit to earnings this year if it decides not to repurpose the remaining Yeezy products it has in stock. The company is predicting a 2023 operating loss of 700 million euros.

Adidas split with Ye in October following the rapper's antisemitic remarks on social media and in interviews, facing pressure along with other brands to end ties. The company is now grappling to find ways to replace its banner Yeezy line, which analysts have said amounted to as much as 15% of its net income.

[easye]

Maybe you guys heard about Silicon Valley Bank collapse? Is it Lehman Brothers all over again?

www.cnn.com/business/live-news/silicon-valley-bank-collapse-updates-03-13-23/h_297c14a0f1fbea814b376ca495ff67ea

The latest on the Silicon Valley Bank collapse

One Silicon Valley Bank employee, who requested anonymity to speak candidly, pointed the finger at CEO Greg Becker for allowing the company to go down in history as the second-biggest US banking failure on record.

The employee said they were dumbfounded by how Becker publicly acknowledged the extent of the bank’s financial troubles before privately lining up the necessary financial support to ride out the storm.

This set the stage for the panic that ensued as customers scrambled to pull their money.

[Disciple of Fate]

Hard to guess what will happen in the US regarding contagion due to your aversion to proper regulations, but at least in Europe most banks should be stable enough to weather this event. Unfortunately as the stock market is entirely based on feelings, I guess we will have to find out.

[easye]

I guess I will put this story here:

Starbucks says it fired her for an ‘absence of leadership.’ She says it was because of her race. A jury returned a $25.6 million verdict in her favor

www.cnn.com/2023/06/14/business/starbucks-manager-racial-discrimination/index.html

A jury on Monday found in favor of former Starbucks regional director Shannon Phillips, who sued the company for wrongfully firing her, claiming she was terminated for being White.

Phillips, who worked for Starbucks for about 13 years and managed a region of stores in the area, was fired after the arrest of two Black men at a Philadelphia Starbucks in April 2018.

The New Jersey jury returned a verdict of $25.6 million, including $25 million for punitive damages and $600,000 in compensatory damages, according to Console Mattiacci Law, which represents Phillips. The jury ruled unanimously after a six day trial, the lawyers said, noting that Phillips will also be seeking back and front pay.

************


The 2019 complaint said that following the arrest, Starbucks “took steps to punish White employees who had not been involved in the arrests, but who worked in and around the city of Philadelphia, in an effort to convince the community that it had properly responded to the incident.”



Phillips, who at the time oversaw areas including Philadelphia, said that Starbucks had ordered her to place a White employee on administrative leave as part of these efforts, due to alleged discriminatory conduct which Phillips said she knew was inaccurate. After Phillips tried to defend the employee, the company let her go, she said.

Huh.

[easye]

A cross-thread colab between Pride and Unions!

Starbucks workers at 150 stores go on strike over Pride decorations

www.cnn.com/2023/06/23/business/starbucks-union-pride-strike/index.html

Workers at about 150 unionized Starbucks stores in the United States are going on strike Friday over a dispute about the coffee chain’s policy for Pride decorations in stores.

Starbucks (SBUX) Workers United, the union representing organized stores, has claimed that Starbucks (SBUX) has restricted decorations celebrating Pride month in some locations, demonstrating a “hypocritical treatment of LGBTQIA+ workers.” Starbucks (SBUX) has forcefully denied this claim.

About 3,500 employees “will be on strike over the course of the next week,” Starbucks Workers United posted in a tweet.

Call in the Pinkertons!

[Disciple of Fate]

As Hasbro has shown the Magic the Gathering community, the Pinkertons are still active and employed. Real America moment right there.

At least the strike will save people from their awful coffee.

[bobtheinquisitor]

What’s this about the Magic the Gathering community?

[Disciple of Fate]

A little while back, WotC accidentally send out some MTG stuff to an influencer before it was officially released. In response the influencer got a visit by the Pinkertons, during which he claims he was threatened over his possession of the MTG stuff. WotC does not deny they employed the Pinkertons, they just deny the specific version of events:

kotaku.com/magic-the-gathering-pinkerton-youtube-wotc-mtg-1850372856

[redchimera]

It achieved the outstanding result of lower my opinion of Hasbro and Wizards of the Coast even further.

[easye]

www.npr.org/2023/07/12/1186984345/ups-strike-shipping-package-delivery

How a UPS strike could disrupt deliveries and roil the package delivery business

Contract negotiations between United Parcel Service and the Teamsters union stalled last week, heightening the odds of a UPS strike in early August — as well as shake-ups in an increasingly competitive package delivery market.

A nationwide walkout by 340,000 UPS workers would be the largest strike against a single employer in U.S. history, and the first at UPS since 1997. Consumers and industries across the country could see significant disruptions to package deliveries.

Oh my.....

[easye]

Insurance crisis in Florida!

AAA pulls back from offering insurance in Florida, following Farmers

www.cbsnews.com/news/aaa-insurance-home-auto-florida-crisis/

AAA will not renew the auto and home insurance policies for some customers in Florida, joining a growing list of insurers dialing back their presence in the Sunshine State amid a growing risk of natural disasters.


"Unfortunately, Florida's insurance market has become challenging in recent years," the company said in a statement emailed to CBS MoneyWatch. "Last year's catastrophic hurricane season contributed to an unprecedented rise in reinsurance rates, making it more costly for insurance companies to operate."

AAA declined to say how many customers won't have their policies renewed, saying only that the change will affect "a small percentage" of policy holders.

The company is the fourth insurer over the last year say it is backing away from insuring Floridians, a sign extreme weather linked to climate change is destabilizing the insurance market. Farmers Insurance recently said it will no longer offer coverage in the state, affecting roughly 100,000 customers.

[Disciple of Fate]

The question is when the government will step in with dreaded socialism to help, I can't imagine this is a situation they can just ignore long term, as it could hurt GoP votes.

[Haighus]

Jul 18, 2023 9:25:04 GMT -5 Disciple of Fate said:

The question is when the government will step in with dreaded socialism to help, I can't imagine this is a situation they can just ignore long term, as it could hurt GoP votes.

Depends who is being predominantly hurt. The GOP is unlikely to step in until it hits wealthier white folk. I think it is far more likely they will go the deregulation route and make insurance less mandatory (is car insurance mandatory in Florida?).

This will probably trigger a slow cascade of increasingly expensive insurance with increasingly low population coverage over the coming years, mainly screwing over poor people who get hit out of pocket for disasters when they are priced out of insurance. Basically like health insurance!

Of course, everyone knows cars are optional in a state built for walking like Florida. /s

[Disciple of Fate]

Maybe its just the impression I get, but extreme weather in relation to hurricanes seems to mostly point towards coastal communities, given that seemingly most of Florida's districts border some sort of coast, ignoring it seems like a risky electoral prospect.