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 2015 the year you get RICH!

Latest Headlines

Asian shares firm as U.S. stocks hit records; RBA in focusAsian shares firm as U.S. stocks hit records; RBA in focus
TOKYO (Reuters) - The U.S. dollar hovered close to an 11-year high against a basket of currencies while Asian shares firmed in early trade on Tuesday, with sentiment bolstered by another record day ...
India needs sustained GDP growth of 9-10 percent: JaitleyIndia needs sustained GDP growth of 9-10 percent: Jaitley
NEW YORK (Reuters) - India`s economy needs to reach an annual growth rate of 9 percent to 10 percent and then sustain that activity "many, many more years than 10 years" in order to improve infrastr...
IBM shareholder sues company, alleging it overvalued chip unitIBM shareholder sues company, alleging it overvalued chip unit
NEW YORK (Reuters) - IBM Corp was sued on Monday by a shareholder that said it committed securities fraud by failing to write down a money-losing semiconductor unit before agreeing to pay another co...
Standard Chartered to shrink bonus pool by 9 percent: Sky NewsStandard Chartered to shrink bonus pool by 9 percent: Sky News
(Reuters) - Standard Chartered bank will shrink its bonus pool for 2014 by about 9 percent to around 715 million pounds ($1.1 billion), Sky News reported late on Monday, citing a person familiar with ...
GM aims to boost GMC truck brand's U.S. market shareGM aims to boost GMC truck brand's U.S. market share
DETROIT (Reuters) - General Motors Co wants to boost the U.S. market share for its GMC truck brand by two-thirds over the next decade by advertising more heavily and introducing new vehicles, a top ex...

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
AppleStock FREE AAPL Signals realtime daytrade signals