AssetsProtection
APTL
- Joined
- Feb 1, 2012
- Messages
- 1,009
But before I go into detail... Im just going to say Two words...
"Target Mobile"
wonder who knows about it yet. 😉
"Target Mobile"
wonder who knows about it yet. 😉
what about? how they're pulling out of Target stores as of May?
Bingo.
If they don't reach an agreement that is.
Dear Lord, please let this be true.
i hope not! i love our target mobile people!
I knew they wouldn't make any money from the moment I heard about them. And I was right, seeing as hardly any locations meet their goals. I like our mobile people too, but we won't lose too much as far as guest service is concerned, as geek squad is still there (whom I'm sure will roll out in most if not all targets early next year).
I was told this was just a rumor.
Interesting how that works.
As of the 2011 Annual Report (pdf), the Target (TGT) Mobile stores were touted as a growth opportunity for the business. However, RadioShack has since realized that the Target Mobile business is cash flow negative. Year-to-date the deal has cost RadioShack some $38.2 million - or nearly half of its year-to-date loss. As RadioShack stated in the last conference call, it has submitted a notice to end the relationship, if Target and RadioShack cannot restructure the agreement to create value for both companies:
"We've been in discussions with target to revise our agreement. While these discussions are still ongoing, the outcome is uncertain at this time. And as a result, we've executed a termination notice that will allow us to exit this business in April of next year.
We continue to believe that there are strategic benefits to both the target and RadioShack to continue our partnership. And we'd like to see this relationship continue under our new structure and agreement that will drive shareholder value for both companies." (Conference Call, 10/23/2012)