BTW News Briefs

April 24, 2008

Recession Hitting Chains Hard

In an April 15 article by Michael Barbaro, the New York Times reported on a growing wave of bankruptcies among America's chain retailers. Noting that eight mostly midsize chains, including Sharper Image and the furniture store Levitz, have filed for bankruptcy since last fall, the Times observed that "the troubles are quickly spreading to bigger national companies." In addition, a number of businesses, including Foot Locker, Ann Taylor, and Zales, are planning to close stores to preserve cash.

The Times noted that consumers' need to spend more on food and gasoline "is crowding out other purchases," and retailers who "relied heavily on borrowed money to finance their purchase of merchandise and even to meet payroll during slow periods" were being denied loans from banks.

Although most of the companies are filing for reorganization rather than liquidation, the Times said that lawyers and industry experts are predicting that many will not emerge from bankruptcy. "Whether more chains file for bankruptcy or not, It will be hard to miss the impact of the industry's troubles in the nation's malls," the Times said.

The International Council of Shopping Centers (ICSC) is predicting that store closings will increase 25 percent in 2008 to 5,753, from 4,603 in 2007.

Prairie Lights Announces New Ownership Structure

Prairie Lights in Iowa City, Iowa, recently announced an ownership change. Owner and founder Jim Harris is taking on two new partners, staff member Jan Weissmiller and customer and author Jane Mead, as reported by the DesMoines Register. The new ownership structure was announced Tuesday, April 22. According to the Register, the three owners are "brainstorming new ideas for Prairie Lights, while aiming to maintain the character of the store in downtown Iowa City." The store will celebrate its 30th anniversary on May 4 at the Englert Theater in Iowa City, the article noted.

New York Bagels in Alaska Bookstore

Marty's New York Bagel Deli will open a restaurant at the midtown Anchorage location of Title Wave Books in the Northern Lights Shopping Center on Thursday, May 1. Marty's will join the vibrant community of Spenard, an area of Anchorage known for its eclectic blend of mostly locally owned, independent and hip retail stores and restaurants. Title Wave's co-owner Julie Drake said, "We are happy to welcome Marty's New York Bagel Deli to Title Wave Books. Many of our customers know and love Marty's, and are excited at the chance to get their favorite bagels at their favorite bookstore."

Marty's New York Bagel Deli will occupy 2,000 square feet in Title Wave's coffee shop, near the events stage. In addition to fresh bagels made daily, Marty's will serve a full deli menu including sandwiches, soups, desserts, coffee and espresso drinks, and will open early for breakfast.

Hue-Man in the Movies

Hue-Man Bookstore in Harlem, New York, can be seen in the new Melvin Van Peebles comedy/adventure movie, Confessionsofa Ex-Doofus-ItchyFooted Mutha. The film will premier at the Tribecca Film Festival, which is held in New York City from April 23 - May 4. According to the Internet Movie Database, Confessionsofa is "a semi-autobiographical story about an adventurer whose journeys take him from Harlem to the high seas and back again."

Topics: News - Bookselling, About Bookstores,