Monthly ArchiveMay 2007
Retail 25 May 2007 11:44 am
The Manhattan Saks Fifth Avenue (SKS) store got the U.S. Postal Service to help them with a publicity stunt. The department store announced their newly-remodeled shoe department will be so big and important it deserves its own zip code:
The quintessential Manhattan store is revamping its shoe department, and when it moves from the fourth floor to the eighth floor in August customers will be able to send mail to 10022-SHOE.
“We believe it’s such a big move for us it deserves its own ZIP code,” Saks spokeswoman Lesley Langsam Kennedy said Thursday. “We wanted to make it a destination.”
But the four-letter addition is meaningless:
Only the last four characters, which aren’t necessary when you’re mailing something, are specialized, and they won’t be read by sorting machines.
Personal Finance 24 May 2007 10:29 am
Ben Bernanke’s Federal Reserve wants to make credit card statements easier to understand and give consumers more time before their terms are changed:
To help, the Fed’s proposal would call for a table summarizing the changes to appear on the statement above the list of the consumers’ transactions. That’s where people are most likely to notice the changes, the Fed said.
From solicitations to monthly statements, the Fed’s proposal would require key information appear in larger print, with rates and fees in an easier-to-see boldface. The proposal also aims to make language easier for people to understand.
“The purpose is to avoid those ‘gotcha’ moments,” said Fed Governor Kevin Warsh.
Travel 23 May 2007 02:29 pm
$10 for an airline ticket. That’s a gimmick Skybus Airlines is using to hook people into its ultra-low cost flying model. On every Skybus flight ten seats will sell for $10. Other seats can run from $37 to $330 if you buy at the last minute.
How does Skybus plan to make money? You will be charged for everything:
The airline sells soft drinks, juice and water for $2, alcoholic beverages for $5 and, if you really want to splurge, a small bottle of champagne for $10. Candy bars and potato chips go for $2. If you are looking for a little more to eat, a sandwich will run you $10.
Each checked in bag costs $5 and boarding first will set you back $10. Then there’s the catalogs flight attendants push on you. ABC News’ Scott Mayerowitz called it, “the Home Shopping Network at 35,000 feet.” In addition Skybus hopes to sell naming rights for individual planes.
Money is saved by flying into less-trafficked airports, boarding the plane via stairs instead of the more costly gate, self-check in, and buying tickets only on the web.
If you can put up with being nickeled and dimed to death and are willing to fly through Columbus, OH Skybus could be a way to save you a lot of money.
Technology 04 May 2007 01:04 pm
Microsoft wants to be a bigger fish in the large, online sea. Google has been trouncing them on search and subsequently on online advertising. Google is now moving into the relm of business software, a Microsoft cash cow. The New York Post reports Bill Gates and the gang have had enough and want to buy Yahoo:
While Microsoft and Yahoo! have held informal deal talks over the years, sources say the latest approach signals an urgency on Microsoft’s part that has up until now been lacking. Now, Microsoft shows fear.
The new approach follows an offer Microsoft made to acquire Yahoo! a few months ago, sources said. But Yahoo! spurned the advances of the Redmond, Wash.-based software giant. Wall Street sources put a roughly $50 billion price tag on Yahoo!.
“They’re getting tired of being left at the altar,” said one banking source who has recently had talks with Microsoft. “They now seem more willing to extend themselves via a transaction to get into the game.”
Microsoft spending $50 billion would be unprecedented for the company. They’ve been sitting on billions in cash for years. It put fear in their competitors until Google started reeling in the billions.
Gary Sattler at Bloggingstocks.com is ripping the Redmond giant:
My interpretation of Microsoft’s subliminal message here is that it couldn’t win the game so it’s going to pay the crippled kid down the street to come play with it. The only problem here is that the crippled kid isn’t all too interested in playing, and Microsoft doesn’t even seem to realize that it’s a cripple.
TechCrunch’s Duncan Riley observes, “It certainly is a strange time when Microsoft accuses Google of anti-competitive behaviour one day, then activily seeks to acquire a leading competitor for the sole purpose of trying to compete with Mountain View based uber company the next.”
Food 03 May 2007 05:26 am
Rats couldn’t stop Yum Brands (YUM) from boosting profits 14%. The dirty, nasty rodents who starred on an internet video clip scurrying around a New York City Taco Bell/KFC are the company’s excuse for a 12% decrease in domestic sales. Fortunately for Yum foreigners didn’t care about the sanitary conditions of Big Apple stores. International sales shot up 56% in the first quarter.
In related news Yum announced that KFC and Taco Bell are now trans fat free. The rats rejoice. Nothing is worse than eating food off the floor only to find out it’s plugging up your arteries.
Energy 02 May 2007 10:08 pm
If you like to drive (or you have to drive) you’re in trouble. Tight gas supplies mean rising gas prices. In the Southeast Wisconsin area where I live gas is comfortably over $3/gal. Analysts say current gas inventories are only slightly higher than just after Hurricane Katrina blasted the Gulf Coast. Expect the average gas price to top the record of $3.06/gal set in 2005.
We’re in a situation where too few refineries mean supply shocks when they go down due to fires or maintenance. High oil prices mean the oil companies have the cash to build more. It requires governments allowing them to build and locals rejecting NIMBY attitudes for the sake more gas. Or we just accept high gas prices and buy a Prius.
[Photo via Flickr]
Media 01 May 2007 01:52 pm
News Corp. (NWS) owns the New York Post, one of the few American newspapers improving its circulation. Dow Jones (DJ) owns another one, The Wall Street Journal. News came out that News Corp. wants to buy Dow Jones for $5 billion.
I bet you wish you owned Dow Jones stock this morning. It shot up to $57 dollar/share on the news.
News Corp.’s bid might ignite a bidding war for Dow Jones.
The deal makes a lot of sense for News Corp. The Post and WSJ can combine printing and back office operations to bring the tabloid into the black. There’s also the upcoming Fox Business Channel which could use the WSJ’s cachet.