Business in brief: Coldwater posts $34 million loss
Coldwater Creek Inc. on Tuesday announced a $34 million loss for the quarter ended Oct. 31, largely due to a tax-related, non-cash charge of $26.3 million.
The Sandpoint-based retailer said results were also dampened by a $3.4 million charge covering the separation costs of former Chief Executive Officer Daniel Griesemer, who left the company in September. The operating loss was $11.1 million.
The net loss amounted to 37 cents per share, compared with a loss of $1.3 million, or 1 cent per share, in the comparable 2008 quarter.
Net sales increased to $266.7 million from $228.5 million for the 2008 quarter. Retail rose to $207.3 million from $175.4 million, catalog and Internet to $59.4 million from $53 million.
Comparable sales for Coldwater Creek premium stores rose 14.4 percent compared with the 2008 quarter.
Big book sellers report losses
NEW YORK – Barnes & Noble Inc. and Borders Group Inc., the nation’s two largest brick-and-mortar book sellers, both posted quarterly losses Tuesday and forecast a difficult holiday season, saying competition from discount chains and online retailers is stiffening.
Barnes & Noble, the larger of the two, also cut its forecast for annual profit, and shares of both retailers fell.
Barnes & Noble, which operates 775 stores, reported a fiscal second-quarter loss of 43 cents per share.
Borders Group Inc. lost $38.5 million, or 64 cents per share, less than a year ago, but its third straight quarterly loss.
US Airways to wait on jets
US Airways will delay delivery of 54 new Airbus jets until at least 2013 and take other steps to boost its cash reserves until travel demand rebounds.
The airline said Tuesday that putting off the deliveries will cut aircraft spending by $2.5 billion over the next three years.
The company said a new $95 million loan plus other financial moves will boost its available cash by about $150 million this year and by $450 million by the end of 2010, CEO Doug Parker said in a message to employees. In recent months, some analysts had speculated that US Airways could face a financial crisis as it burned through cash this winter, a slower period for travel. Last month, the company announced it will cut 1,000 jobs, drop several international routes, and concentrate nearly all U.S. flying at three hub airports and Washington.
It still plans to add 28 new planes in the next three years, which it called a more manageable pace during an airline industry slump. It has financing in place for those 28 planes, including $180 million in loans for four planes coming next year.