Journalist, New York
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Jan 28, 2014

J.C. Penney cuts poison pill trigger by half, extends to 2017

By Phil Wahba and Siddharth Cavale

(Reuters) – J.C. Penney Co Inc (JCP.N: Quote, Profile, Research, Stock Buzz) said on Tuesday it extended its poison pill until 2017, and lowered the threshold at which it would dilute the holdings of any shareholder, to prevent a takeover of the department store chain.

The retailer lowered the trigger of its shareholder rights plan, as poison pills are formally known, to 4.9 percent from 10 percent, saying that would “reduce the likelihood” of an ownership change.

Jan 24, 2014

Emerging markets lift Procter & Gamble, Kimberly-Clark

NEW YORK (Reuters) – Procter & Gamble Co (PG.N: Quote, Profile, Research, Stock Buzz) and Kimberly-Clark Corp (KMB.N: Quote, Profile, Research, Stock Buzz), two of the world’s biggest household products makers, forecast strong sales gains in emerging markets on Friday, quelling investor fears that slowing growth in some countries would hurt their prospects.

P&G, the maker of Pampers diapers and Tide detergent, said revenue rose 8 percent in developing countries in its fiscal second quarter, but barely edged up in mature markets like the United States and Europe. It stuck to its 2014 sales and profit forecasts.

Jan 24, 2014

EBay reliance on PayPal for growth lowers chances of spinoff

NEW YORK, Jan 24 (Reuters) – EBay Inc is fighting
the proposal by activist investor Carl Icahn to spin off PayPal
because it views the payments service as crucial to long-term
growth prospects of the e-commerce company.

The marketplaces business, eBay’s biggest, is growing at a
slower rate than both PayPal and eBay rival Amazon.com Inc.
PayPal, estimated to be worth as much as $40 billion on its own,
helps bolster eBay’s share price.

Jan 24, 2014

Exclusive: Icahn’s stake in eBay close to 2 percent – source

By Nadia Damouni and Phil Wahba

(Reuters) – Activist investor Carl Icahn’s stake in e-commerce company eBay Inc is more than previously reported at close to 2 percent, a source familiar with the matter said on Thursday.

EBay said this week that Icahn had taken a 0.82 percent interest in the company earlier this month and made a non-binding proposal for eBay to spin off its PayPal payments business. EBay has a market capitalization of about $70 billion.

Jan 23, 2014

EBay dismisses Icahn proposal to spin off Paypal

By Phil Wahba and Nadia Damouni

(Reuters) – Carl Icahn has taken a stake in eBay Inc and is proposing a spin-off of the its fast-growing PayPal division, but the e-commerce giant rebuffed the overture, setting the stage for a potential battle with the activist investor.

EBay, which bought PayPal for $1.5 billion in 2002 and has considered hiving off the multibillion-dollar payments service, argued on Wednesday that the business would lose synergies with the overall e-commerce business as an independent unit.

Jan 22, 2014

Icahn wants eBay to spin off Paypal; eBay balks

By Phil Wahba

(Reuters) – Activist investor Carl Icahn has taken a stake in Ebay Inc (EBAY.O: Quote, Profile, Research, Stock Buzz) and is proposing a spin-off of the company’s fast-growing PayPal division, but the e-commerce giant rebuffed the overture, setting the stage for a potential battle.

EBay, which bought PayPal for $1.5 billion in 2002 and has considered hiving off the multibillion-dollar payments service, argued on Wednesday that the business would lose synergies with the overall e-commerce business as an independent unit.

Jan 22, 2014

Coach sales in N. America plummet as it loses more ground to rivals

By Phil Wahba

(Reuters) – Coach Inc’s (COH.N: Quote, Profile, Research, Stock Buzz) sales in North America during the key holiday quarter fell more than the handbag maker had forecast as new rivals continued to eat away at its market lead and fewer shoppers came into its stores.

The New York company, known for its Poppy handbags, on Wednesday reported a 13.6 percent drop in comparable-store sales in North America, the third straight quarter of decline in a market that accounts for 70 percent of its revenue.

Jan 22, 2014

Sears closes Chicago flagship store as it moves to online retail

NEW YORK, Jan 21 (Reuters) – Sears Holdings Corp is
closing its downtown Chicago flagship outlet in April, the
latest move by the retailer to cut the number of its stores as
it relies more on online retailing.

The store has lost “millions of dollars” since opening in
2001, a Sears spokesman said on Tuesday. The closing will leave
Sears’ namesake chain without a store in the downtown core of
its hometown. Sears is based in suburban Hoffman Estates,
Illinois. It has three other stores in Chicago.

Jan 15, 2014

Penney to shed 33 stores, cut 2,000 jobs to stem losses

NEW YORK (Reuters) – J.C. Penney Co Inc (JCP.N: Quote, Profile, Research, Stock Buzz) said on Wednesday it will close 33 stores and cut 2,000 jobs as part of the struggling retailer’s efforts to return to profit.

Chief Executive Myron Ullman in a statement called the move an important step that “addresses a strategic priority to improve the profitability of our stores.”

Jan 14, 2014

US holiday sales rise but discounts to hit margins -NRF

NEW YORK, Jan 14 (Reuters) – U.S. retail sales rose 3.8
percent in the 2013 holiday season, the National Retail
Federation said, but the trade body warned that deep discounting
could hurt retailers’ profits.

Retailers offered the biggest promotions since the 2008
recession to get shoppers to spend, but many slashed profit
forecasts last week because of the deals.

    • About Phil

      "Phil Wahba joined Reuters in 2008 and has covered the exchanges, equity capital markets (IPOs), corporate bankruptcies and now covers retailers such as department stores and booksellers."
      Joined Reuters:
      2008
      Languages:
      English, French, Spanish, German and Danish.
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