Reuters is reporting that the Best Buy board of directors has asked founder and former chairman Richard Schulze to name the private equity (PE) firms that he can line up to help him buy out Best Buy stock and take the company private. But reportedly Schulze is playing coy, saying only that there’s a “number of leading private equity firms” prepared to make a significant commitment.
At the end of last week, Nortek, Inc. reported their financial results for the fiscal second quarter and first half. While at first blush the overall numbers look good – sales up 9% in Q2 and 8% in 1st Half and returning to profitability for both periods – digging deeper shows that their technology business unit (TECH) and residential ventilation business unit (RESV) are not yet participating in the company’s turnaround. Given the significant amount of restructuring of their TECH segment, this result is troubling. [Read more…] about Nortek Financial Results Show That, Despite Best Efforts, TECH Remains Troubled
Based in Missoula, Montana, Vann’s Inc. has been a shining star of the retail business – for years a hearty player in a rugged part of the country where only the strong survive. Founded in 1961 by Pete Vann, the company has steadily grown over the years – adding locations, diversifying retail formats, and even expanding into online sales. But signs of stress began to emerge this year with the company closing one location in February, then replacing long-time CEO George Manlove in June with a CEO from outside the company, losing the support of a key lender in July, and finally declaring bankruptcy just a little over one week ago.
How did this all happen?…. [Read more…] about Former Retail Shining Star Vann’s Declares Bankruptcy
The Nikkei Reported today that both Sony Corp. and Sharp Corp. have further reduced their original forecast for fiscal year 2012 flat-panel HDTV sales in the wake of a worldwide slowdown in demand. The move surprised analysts, as both companies had forecast weaker demand as part of their initial 2012 forecast. But, as we’ve been reporting for months, sales of flat-panel TVs in Japan’s domestic market have fallen off a cliff as previous government rebate programs meant to encourage consumers to switch to a new digital TV system, as well as to more energy-efficient TVs and appliances, came to an end. Now, manufacturers are experiencing slack demand around the world, including a slowdown in the market they had been counting on to provide substantial growth – China. [Read more…] about After Surprising Analysts with Initial Downgraded 2012 TV Sales Forecast, Sony & Sharp Stun Again with Deeper Cuts
3vNet, the new home automation company that succeeded Colorado vNet, announced last week one of the first products to be produced by the new company – then CB1 Control Bridge. The company has also let strata-GEE.com know which sales territories they have open and in which they are interested in finding good sales representative firms with whom to work. [Read more…] about 3vNet Announces New CB1 Lighting & Control Module and Open Sales Territories
Gibson Guitar Corp., a manufacturer of musical instruments and significant shareholder in Onkyo Corp. and majority owner of Onkyo USA, has entered into a “Criminal Enforcement Agreement” with the U.S. Department of Justice settling matters and circumstances surrounding government allegations of their illegal purchase and importation of woods and materials protected by environmental regulations and laws. As part of their settlement, Gibson admits the government’s allegations are true, agrees to pay a penalty of $300,000, agrees to an additional “community service” payment of $50,000 to the National Fish and Wildlife Foundation, implements a strict compliance program (approved by DOJ enforcers) to prevent future violations, and relinquishes claim to more than $260,000 worth of government-seized illegally imported materials. [Read more…] about Gibson Guitar Admits It Broke the Law; Settles with DOJ to Avoid Criminal Prosecution
Last month, we reported on the pre-launch of a new brand…the rather boldly named AudioXperts – founded by well-known industry veteran, Eli Harary and the team of sales, marketing, engineering, and product specialists he assembled. This pre-launch announcement was then followed-up by an official launch at a press event in Manhattan on Tuesday of this week. For a lot of reasons, this was a notable event – not the least of which is that there are very few new companies launching in the current incredibly difficult industry environment. But this “birth of a brand” also – for a number of reasons – set a very high bar for expectations related to its launch, which drew a substantial press contingent.
Did AudioXperts live up to their “exceeding expectations” tag line?… [Read more…] about Did AudioXpert’s Launch Succeed in ‘Exceeding Expectations’ as Their Tag Line Promises?
Bloomberg News reported on Monday that the Best Buy Co. board of directors has received a letter with an offer from company founder and former chairman Richard Schulze to acquire all outstanding shares of the company stock and take it private. Schulze is said to have the support of at least two private equity companies and an investment bank that is confident it can arrange adequate financing. Schulze also says several former Best Buy executives are interested in joining him in the process of reinvigorating the company.
Analysts are skeptical… [Read more…] about Best Buy Founder Schulze Rounds Up the Old Gang for One Last Try
In an association that is somewhat unique in our industry, Indy Audio Labs, LLC, (IAL) the company that manufacturers the Acurus & Aragon high-end brands, has hired John Caldwell, founder and CEO of Grace Motif to handle sales for the IAL brands. Interestingly, they have awarded Caldwell the title of Vice President of Sales for IAL while he retains his title and functions at Grace Motif. [Read more…] about Grace Motif’s John Caldwell to Handle U.S. Sales for Indy Audio Labs’ Acurus & Aragon Brands
3vNet – formerly Colorado vNet – has launched an all-new website putting a fresh face on the newly independent company’s Internet presence. The company, once part of Russound and with which it had an often troubled relationship, was purchased from Russound by its Vice President of Sales and Marketing, Mike Anderson in April of this year. [Read more…] about 3vNet Puts on a Fresh Face – Launches New Website