This is a scary article from Yahoo Finance about some big names in the consumer world that are really struggling. Many are household names, like Krispy Kreme, Rite Aid, Blockbuster, and Sirius Radio.
Scary, but I won't miss Sbarro's awful pizzas. I don't understand how they can go broke though because they have at least one in every airport and mall, and their slices are way overpriced.
"Io sono stanco, sono imbigliato, and I wan't everyone here to know, there ain't gonna be no trouble from me..Don Corleone..Cicc' a port!"
"I stood in the courtroom like a fool."
"I am Constanza: Lord of the idiots."
Re: 15 Companies That Might Not Survive 2009
[Re: dontomasso]
#531248 02/09/0912:09 PM02/09/0912:09 PM
I don't understand how Krispy Kreme is in such trouble. They have a far superior product to Dunkin Donuts, IMO, yet DD has a store ever 3 feet it seems, and I have no Krispy Kreme anywhere near me.
President Emeritus of the Neal Pulcawer Fan Club
Re: 15 Companies That Might Not Survive 2009
[Re: Sicilian Babe]
#531249 02/09/0912:20 PM02/09/0912:20 PM
I agree, DT. Sbarro's pizza is terrible. It's like putting ketchup on a piece of cardboard, then sticking it under a heating lamp, and calling it pizza.
Dunkin Donuts consistently is voted to have some of the best coffee. If they are everywhere, then they get more volume of customers. That's the name of the game. McDonalds is very similar to Dunkin Donuts in that they may not have the best tasting burgers and food. But they are everywhere around the world, so more people eat there than Wendys and Burger King. Most of the DD also have a Baskin Robbins ice cream store attached. So they are getting a variety of customers: donut eaters and coffee drinkers in the morning and ice cream eaters the rest of the day, whereas Krispy only has the one market. Realistically, how many people are buying donuts after 12 pm on a regular basis?
Re: 15 Companies That Might Not Survive 2009
[Re: Sicilian Babe]
#531250 02/09/0912:22 PM02/09/0912:22 PM
I don't understand how Krispy Kreme is in such trouble. They have a far superior product to Dunkin Donuts, IMO, yet DD has a store ever 3 feet it seems, and I have no Krispy Kreme anywhere near me.
I think KK made the mistake that Boston Market did several years ago in expanding so quickly. Like Boston Market, KK suffers from widespread supermarkets that have their own bakeries. Where I am, most supermarkets put out fresher, better, bigger and cheaper doughnuts than the national chain stores, and the KK stores wnt away. The only KKdoughnuts I see now are in some of the convenience stores.
I think Dunkin Donuts survives because they market their coffee well and diversified the menu.
Re: 15 Companies That Might Not Survive 2009
[Re: klydon1]
#531251 02/09/0912:31 PM02/09/0912:31 PM
The common theme among all those companies is over-leverage. Whether they took on too much debt because of overexpansion (KK, like KL mentioned) or were involved in deals with overleveraged LBOs, these companies are in danger of not being able to pay their creditors when payments are due.
Re: 15 Companies That Might Not Survive 2009
[Re: Don Sicilia]
#531252 02/09/0912:37 PM02/09/0912:37 PM
I think I'll be devastated if Krispy Kreme goes under. We have a KK shop about 10 miles from us, and we get a dozen glazed at least once a week. They just melt in your mouth.
"Growing up my dad was like 'You have a great last name, Galifianakis. Galifianakis...begins with a gal...and ends with a kiss...' I'm like that's great dad, can we get it changed to 'Galifianafuck' please?" -- Zach Galifianakis
Re: 15 Companies That Might Not Survive 2009
[Re: XDCX]
#531253 02/09/0912:45 PM02/09/0912:45 PM
I've been slowly dying the past year because of Krispy Kreme.
"Growing up my dad was like 'You have a great last name, Galifianakis. Galifianakis...begins with a gal...and ends with a kiss...' I'm like that's great dad, can we get it changed to 'Galifianafuck' please?" -- Zach Galifianakis
Re: 15 Companies That Might Not Survive 2009
[Re: XDCX]
#531256 02/09/0912:58 PM02/09/0912:58 PM
Blockbuster came into town, drove all the little guys out of business, and now they're crying because Netflix came up with a better service. Well, let's call the Wahmbulance! Blockbuster had an advantage with their "get it by mail, return it to the store" option, but they blew it. They charged people tons of fees if the DVD was out over a week. Although they promised to credit your account once the DVD was returned, I read stories about plenty of people who had to fight to get their money back, even though they had returned the DVD.
And they wonder why they're going out of business?
As for Dunkin Donuts, their doughnuts are like lead and their coffee tastes like crap. However, they are very clever at marketing. By selling their coffee in the supermarkets, they can probably afford to close half their stores and still do OK. Plus, it was pure genius to convince us to pay $8 for 50 doughnut holes.
President Emeritus of the Neal Pulcawer Fan Club
Re: 15 Companies That Might Not Survive 2009
[Re: Sicilian Babe]
#531258 02/09/0901:07 PM02/09/0901:07 PM
I thought the Sirius-XM merger would help. Right now, Sirius is trading for 11 cents per share! No misprint. Is it any wonder why they made this list?
You're right, SB. Blockbuster made their bed - now they can lay in it. I have no sympathy for their company. The past few times I have been in there, the service was terrible, the selection was mediocre, and the prices were high. Not exactly a recipe for success.
Re: 15 Companies That Might Not Survive 2009
[Re: goombah]
#531260 02/09/0901:13 PM02/09/0901:13 PM
Babe - Not just all that why I despise "Cockbuster," but also because funny enough, they had a chance earlier this decade to buy Netflix when that service was struggling to make a quick initial profit.
BUT Blockbuster turned that offer down, because they were investing on their own Internet "Downloading" service with another corporation. The name of that corporation?
Enron.
So Enron goes bankrupt, Blockbuster stuck with $300 million flushed down the toilet without that download program ever becoming anything...
To quote THE SIMPSONS...
Re: 15 Companies That Might Not Survive 2009
[Re: ronnierocketAGO]
#531279 02/09/0906:03 PM02/09/0906:03 PM
damn it not krispy kream, and well i dont give a damn about blockbuster. one thing for sure though if this economy doesnt improve in two years then stores like target, k mart, and best buy will go down...then in five years wal mart would go down.
Re: 15 Companies That Might Not Survive 2009
[Re: BAM_233]
#531281 02/09/0906:18 PM02/09/0906:18 PM
damn it not krispy kream, and well i dont give a damn about blockbuster. one thing for sure though if this economy doesnt improve in two years then stores like target, k mart, and best buy will go down...then in five years wal mart would go down.
In ten years, we'll all be back to sticks and stones.
Re: 15 Companies That Might Not Survive 2009
[Re: svsg]
#531287 02/09/0906:27 PM02/09/0906:27 PM
So should I go ahead and check out a bunch of movies from Blockbuster without returning them?
Long as I remember The rain been coming down. Clouds of Mystery pouring Confusion on the ground. Good men through the ages, Trying to find the sun; And I wonder, Still I wonder, Who'll stop the rain.
Re: 15 Companies That Might Not Survive 2009
[Re: Longneck]
#531307 02/09/0910:00 PM02/09/0910:00 PM
I shouldn't be amazed but I am. Rite Aids just went up all around Riverside County and now they may go belly up? And Krispy Cream???? Trump Enterprises?
What really shocks me though it Six Flags. We have a Six Flags Magic Mountain (I beleive there is one in Ohio too..Sandusky if I'm not mistaken ?)Our 8th grade trip has been there forever. Of course prices are an arm, leg and first born, but wow!! What a sad sitution if all or even some of these go under.
TIS
Last edited by The Italian Stallionette; 02/09/0910:03 PM.
"Mankind must put an end to war before war puts an end to mankind. War will exist until that distant day when the conscientious objector enjoys the same reputation and prestige that the warrior does today." JFK
What really shocks me though it Six Flags. We have a Six Flags Magic Mountain (I beleive there is one in Ohio too..Sandusky if I'm not mistaken ?)Our 8th grade trip has been there forever. Of course prices are an arm, leg and first born, but wow!! What a sad sitution if all or even some of these go under.
Six Flags?? Big deal.... Bush took us on a wild ride for eight years.
.
Re: 15 Companies That Might Not Survive 2009
[Re: SC]
#531309 02/09/0910:04 PM02/09/0910:04 PM
What really shocks me though it Six Flags. We have a Six Flags Magic Mountain (I beleive there is one in Ohio too..Sandusky if I'm not mistaken ?)Our 8th grade trip has been there forever. Of course prices are an arm, leg and first born, but wow!! What a sad sitution if all or even some of these go under.
Six Flags?? Big deal.... Bush took us on a wild ride for eight years.
Yea, I believe that was Disney's "Mr. Toad's Wild Ride."
TIS
"Mankind must put an end to war before war puts an end to mankind. War will exist until that distant day when the conscientious objector enjoys the same reputation and prestige that the warrior does today." JFK
"War is over, if you want it" - John Lennon
Re: 15 Companies That Might Not Survive 2009
[Re: SC]
#531318 02/09/0910:34 PM02/09/0910:34 PM
...dot com bold typeface rhetoric. You go clickety click and get your head split. 'The hell you look like on a message board Discussing whether or not the Brother is hardcore?
I shouldn't be amazed but I am. Rite Aids just went up all around Riverside County and now they may go belly up? And Krispy Cream???? Trump Enterprises?
What really shocks me though it Six Flags. We have a Six Flags Magic Mountain (I beleive there is one in Ohio too..Sandusky if I'm not mistaken ?)Our 8th grade trip has been there forever. Of course prices are an arm, leg and first born, but wow!! What a sad sitution if all or even some of these go under.
TIS
Six Flags is in Ohio. However, Sandusky is host of a much better amusement park: Cedar Point. Six Flags replaced a chain called Geauga Lake, which ran a park with Sea World.
I'm not surprised that they are struggling. Prices are high and people are spending less. Plus the liability insurance to operate an amusement park is astronomical. I am surprised about Rite Aid, too. We need more drug stores in this country for competitive prices, not less.
Re: 15 Companies That Might Not Survive 2009
[Re: Longneck]
#531352 02/10/0910:01 AM02/10/0910:01 AM
I am surprised about Rite Aid, too. We need more drug stores in this country for competitive prices, not less.
Rite Aid has been suffering even before the present economic crisis. This chain began in 1962 with one store in my hometown of Scranton, and is presently headquartered where I now reside, near Harrisburg. It was founded by an extraordinary gentleman, named Alexander Grass, whose vision, hard work and wisdom made the company a success. He's been a noted philanthropist too, generously giving away millions for schools, hospitals and centers for the arts.
I'm guessing about 7 years ago he stepped down and handed the reins of the company to his son, Martin. Alexander planned to remain on the Board in an advisory capacity, but Martin, exercising his newly acquired authority, removed his dad from the company, thinking he would be a distraction to his new course of improving Rite Aid. Since then, Rite Aid has been found to engage in a widespread pattern of billing Medicare and insurance companies for fabricated prescriptions. Also, Martin and his officers were found guilty of accounting irregularities, designed to mislead investors, and he, his attorney and several of his execs are serving time in federal prison.
An example of the difference between Alex and Martin:
Martin arranged to have a luxury helicopter, complete with a bar, take him to Baltimore for the occasional business or shareholder meetings. Alex would drive his Chrysler the hour and a half and stop at a spot for ice cream where he had befriended the shop owners.
Re: 15 Companies That Might Not Survive 2009
[Re: klydon1]
#531360 02/10/0910:28 AM02/10/0910:28 AM
Martin sounds like what my boss refers to as a member of the Lucky Sperm Club.
Never heard that one before.
Sounds like the son of the Rite Aid founder was not a chip off the old block. I'm sure he'll screw his employees and shareholders, but not suffer himself personally from any of his mismanagement.
Re: 15 Companies That Might Not Survive 2009
[Re: goombah]
#531393 02/10/0903:42 PM02/10/0903:42 PM
No surprise with Trump. He's been to bankruptcy court more times than Sen. Geary has been to Fredo's whore house. Trump is a bulls*it artist from the get go. He is no different than any real estate sales person who will lie through their teeth to get some deal closed.
"Io sono stanco, sono imbigliato, and I wan't everyone here to know, there ain't gonna be no trouble from me..Don Corleone..Cicc' a port!"
"I stood in the courtroom like a fool."
"I am Constanza: Lord of the idiots."
Re: 15 Companies That Might Not Survive 2009
[Re: dontomasso]
#531400 02/10/0904:48 PM02/10/0904:48 PM