fred's inc-class a (FRED) Key Developments
Fred's, Inc. and Cardinal Health, Inc. Announce Primary Supply Agreement
Aug 11 14
Fred's, Inc. and Cardinal Health, Inc. announced a multi-year agreement for Cardinal Health to be the new primary supplier of branded and generic pharmaceutical products to all of Fred's more than 360 in-store pharmacies and EIRIS Health Services in the United States. Under the agreement, Fred's and Cardinal Health will establish a mutually beneficial strategic alliance designed to support Fred's key initiative of rapid pharmacy growth, and build on a foundation of premier supply chain and asset management tools.
Fred's, Inc. Reports Sales Results for the Month, Quarter and Six Months Ended July 2014
Aug 7 14
Fred's, Inc. reported sales results for the month, quarter and six months ended July 2014. Total sales for the month increased 4% to $148.0 million from $142.6 million in July 2013. Comparable store sales for the month increased 0.7% on top of a 2.5% increase in the same period last year.
Total sales for the second quarter of fiscal 2014 increased 2% to $490.6 million from $482.2 million for the same period last year. On a comparable store basis, second quarter sales decreased 0.1% versus an increase of 2.2% for the year-earlier period.
Total sales for the first six months of fiscal 2014 increased 1% to $988.9 million compared with $983.7 million for the same period last year. On a comparable store basis, year-to-date sales decreased 1.0% versus an increase of 0.5% in the same period last year.
Fred's Provides Earnings Guidance for the Second Quarter of 2014
Aug 7 14
Fred's, Inc. provided earnings guidance for the second quarter of 2014. Due to the cost increases the pharmacy department is facing as well as other costs, the company foresees a second-quarter loss between 15 cents and 20 cents per share. The guidance excludes reserves for the disposition of inventory and stores that don't fit its convenience center model. Its prior outlook was for an adjusted operating profit of 4 cents to 9 cents per share.
Fred's Inc. Announces Executive Appointments
Aug 6 14
Fred's Inc. announced that Craig Barnes and Kelly Ma have joined the company and will lead its new sourcing team. Barnes assumes the role of senior vice president, global sourcing and hardlines, bringing more than 20 years of progressive retail merchandising/sourcing experience to the company. Ma, with eight years of experience in sourcing, product procurement, development, vendor selection, and financial planning, joins as vice president, international and domestic sourcing. Prior to joining Fred's, Barnes was vice president for the global independent aftermarket and OE service for Delphi Products & Service Solution, where he was responsible for setting product and customer pursuit strategy and capability development, overseeing four regions including Asia Pacific, Latin America, EMEA, and North America. Previously, Ma was the global sourcing-import coordinator for AutoZone, responsible for identifying and presenting import opportunities for assigned category teams and managing the entire import process from beginning to final execution of products in stores.
Fred's, Inc. Reports Sales Results for the Month and Year to Date Ended June 2014
Jul 18 14
Fred's, Inc. reported sales results for the month and year to date ended June 2014. For the quarter, the company reported that comparable store sales for June 2014 decreased 0.6%, compared to an increase of 4.5% for June 2013. Total sales for June 2014 increased 2% to $191.2 million from $187.3 million in June 2013.
For the year to date, the company reported total sales for the first five months of fiscal 2014 were $840.9 million, approximately flat compared with $841.1 million for the same period of 2013. On a comparable store basis, year-to-date sales decreased 1.3% versus flat sales for the year-earlier period. Comparable store sales declined slightly for June, with the fourth week of the month being unusually soft as were unable to place new ad program for that week. For the weeks that the new ad program were in effect, sales and customer traffic patterns improved noticeably.