Stock:
Symbol Lookup
Register | Login
...
History
...
...

Pre Market | Dow Jones | Gold | Newsletters | Learn


Barnes & Noble Plans to Close down One Third of Its Bookstores in Next Decade (BKS)

Monday, January 28, 2013 8:26 AM
Barnes & Noble IncAccording to the Wall Street Journal, a top executive from Barnes & Noble Inc. (NYSE: BKS) has said that the book seller will shutter a third of its retail stores in the next decade. Mitchell Klipper, the Chief Executive of Barnes & Noble while speaking to the Journal gave a very detailed outline on what the Company intends to do with its numbers of bookstores. “In 10 years we'll have 450 to 500 stores,” said Klipper, adding that the forecast assumes close down of 20 stores annually in next 10 years, according to the WSJ. As of January 23, 2013, Barnes & Noble operated 689 retail stores and 674 college bookstores across the States. While the bookstores chain has been shuttering nearly 15 stores annually since last decade, it has also opened 30 or more stores simultaneously until 2009. However, in the recent past, the opening of new stores has mainly withered as more and more readers switch towards digital devices or ‘e- books’ such as Barnes & Noble’s Nook, Amazaon.com’s (NASDAQ: AMZN) Kindle and Apple Inc.’s (NASDAQ: AAPL) iPad. Thus far, Barnes & Noble opened only two new stores in the current fiscal year. Klipper believes that distribution network with 450 to 500 bookstores is a good “business model”, adding that company needs to keep a check on overheads and “get smart with smart systems”. The move comes at a time when investors and analysts have started doubting Barnes & Noble’s future. Just last month, the company reported an 11% decline in sales during the key holiday-season period. Same-store-sales, a key gauge on any retail chain’s performance, also slumped 3.1% in the same period. Barnes & Noble’s market share in the print book business first eroded due to intensifying competition from discount book seller, Amazon.com. Later the proliferation of e-books usage further dented print-book sales. A data provided by market research firm Nielsen BookScan showed that unit sales of print book in the U.S. market plunged 9% last year while they have plummeted 22% from 2007. Now, adding to the Company’s woes is intensifying competition in the e-books business. With large number of players already present in this field such as Apple Inc, Amazon.com, Samsung Electronics and Google Inc. (NASDAQ: GOOG), the margins and sales have taken a beating. In the just concluded holiday season quarter, Barnes & Noble reported that online as well as stores sales for Nook dropped compared to the same period of last year.
PRINT

FREE Options Trading Lessons
I'll show you how to unlock HUGE Gains with Options Trading
Let's make 2014 the year you get RICH!

Latest Headlines

Capital hike, asset sales to fill gap at Monte Paschi: chairmanCapital hike, asset sales to fill gap at Monte Paschi: chairman
VIENNA (Reuters) - Italian lender Monte dei Paschi di Siena expects to complete its planned capital increase by July and can use divestments to help plug a hole in its balance sheet, Chairman Alessand...
Saudi's Naimi says oil prices will stimulate demand, confident market will recoverSaudi's Naimi says oil prices will stimulate demand, confident market will recover
ABU DHABI (Reuters) - Saudi Arabia`s oil minister on Sunday defended OPEC`s decision to keep output steady despite the biggest market slump in years, saying current prices would help global economic...
Last U.S. holiday shopping weekend off to solid startLast U.S. holiday shopping weekend off to solid start
CHICAGO/NEW YORK (Reuters) - Shoppers filled up malls and department stores on the last weekend before Christmas, as the weather cooperated to help raise the prospect of a solid finish to a holiday ...
ECB's Coene supports government bond purchases: newspaperECB's Coene supports government bond purchases: newspaper
BRUSSELS (Reuters) - The European Central Bank should start buying government bonds to tackle poor investor confidence and low inflation in the euro zone, governing council member Luc Coene said in an...
DISH, Comcast SportsNet reach deal in regional disputeDISH, Comcast SportsNet reach deal in regional dispute
WASHINGTON (Reuters) - Satellite TV provider DISH Network Corp and Comcast Corp`s SportsNet have reached a deal allowing the cable giant`s regional sports networks to remain on-air for DISH subscriber...

Loading Headlines...
 

Stock Market

Track the stock market today with the latest news and information on all things investing! Watch your stocks perform throughout the day and watch the breaking stock market news.

Feedback | disclaimer | privacy policy

Stock Market News

The Stock Market is ever changing. Keep up on your stock market news.

Stock Market Newsletters

Read up on your favorite stock market newsletters.


Learn the Stock Market

Sharper your stock trading skills with our stock market education section.

Algorithm Based
Trade Signals
arrow
small cap swing trades SmallCaps stocks under $10
Index Signals Index Signals SPY, QQQ, DIA, IWM
options trading Mega Stocks options + stock trade signals
Forex Forex Signals major FX pairs signals