LOS ANGELES, Aug. 18 (Xinhua) -- Boeing Co. announced on Friday that it was taking the first steps toward closing its C-17 assembly plant in Long Beach, about 30 kilometers south of Los Angeles.
The closure will force 5,700 workers out of jobs and deal an economic blow to hundreds of subcontractors in Southern California and around the nation that supply parts for the C-17.
Boeing made the announcement to the workers in Long Beach and began notifying suppliers to stop producing parts for the C-17.
The move was seen as an end of an era for Southern California, where losing the plant would be a significant blow to the state economy. The C-17 plant was once a pillar of the state's economy.
I'm just taking a guess here but maybe some of these companies are beating "revised" targets that were already guided down during previous quarters. So, yes they beat estimates but the goal posts were moved.
Another industry slowing down, in IC chip equipment, reflecting the tech industry that was perhaps one of those industries supposed to 'take over' from real estate.
Given the 'big sales push' in Georgia and Tennessee for back-to-school, I'm actually rather disappointed. I can't speak for other states, but both of those states offered "sales tax holidays" (sales tax exempt) on a number of goods, and the stores from Nashville to Atlanta were like a four-day repeat of Black Friday. The local Walmarts were running out of school supplies (and a lot of other goods) each day, and it only gets a +2.7% gain from last year? ok, maybe - after all, not all the states were that bad.
Back to school isn't what it used to be - the marketing folks need to get out more and SEE how people really live...
Harried Moms & Dads will be chasing down odds-n-ends for their kids through October... stuff they forgot to get while coming home late from work. Don't believe me? Ask teachers - they see it getting crazier every year & the double income high achievers are the worst.
Speaking of the devil - we've hardly got anything for dryfly jr & school starts Tuesday, hmmmm.
These numbers are like Holiday Sales numbers - they start early & drag on late... hard to know the full effect ever let alone over a short period of time. I'd have dismissed them if high, medium or low. Turns out they look pretty much inconclusive anyway.
I wonder if such mixed reslts reflect a significant change in the pattern of consumer spending. For instance, less visits to buy pants in Gap and more spending in the visit to W-M or Target. If less consumer spending occurs, different kind of stores can face stronger competition from different retail segments. No?
General supermarkets as W-M or Target have an advantage against spezialized retailers such as Gap. Even more when gasoline is expensive.
IM, I take your point on concerns over patterns of consumer spending but Gap might be a company specific issue. Some of the limited stuff I've read is that the brand is in really tough shape. I think J.Crew is eating their lunch (its recent results have been pretty good vs. Gap). Also, Costco had crappy numbers the other day and they should benefit from peopel trying to save. So my guess is that it will be a while before you see a Wal-Mart parking lot full of BMWs and Range Rovers.
Dryfly - Tuesday? School locally started a month ago. Literally for my kid, though some of the neighboring districts were a week later.
Which raises the question as to whether part of the reason for the mixed success of back-to-school is that 'back to school' is different for different locations?
There are some troubles in southern California (spells BIG real estate troubles, sorry guys):
Xinhua - English
LOS ANGELES, Aug. 18 (Xinhua) -- Boeing Co. announced on Friday that it was taking the first steps toward closing its C-17 assembly plant in Long Beach, about 30 kilometers south of Los Angeles.
The closure will force 5,700 workers out of jobs and deal an economic blow to hundreds of subcontractors in Southern California and around the nation that supply parts for the C-17.
Boeing made the announcement to the workers in Long Beach and began notifying suppliers to stop producing parts for the C-17.
The move was seen as an end of an era for Southern California, where losing the plant would be a significant blow to the state economy. The C-17 plant was once a pillar of the state's economy.
I'm just taking a guess here but maybe some of these companies are beating "revised" targets that were already guided down during previous quarters. So, yes they beat estimates but the goal posts were moved.
Another industry slowing down, in IC chip equipment, reflecting the tech industry that was perhaps one of those industries supposed to 'take over' from real estate.
EETimes.com - IC-equipment slowdown arrives
Given the 'big sales push' in Georgia and Tennessee for back-to-school, I'm actually rather disappointed. I can't speak for other states, but both of those states offered "sales tax holidays" (sales tax exempt) on a number of goods, and the stores from Nashville to Atlanta were like a four-day repeat of Black Friday. The local Walmarts were running out of school supplies (and a lot of other goods) each day, and it only gets a +2.7% gain from last year? ok, maybe - after all, not all the states were that bad.
I'm still worried about the September numbers.
Back to school isn't what it used to be - the marketing folks need to get out more and SEE how people really live...
Harried Moms & Dads will be chasing down odds-n-ends for their kids through October... stuff they forgot to get while coming home late from work. Don't believe me? Ask teachers - they see it getting crazier every year & the double income high achievers are the worst.
Speaking of the devil - we've hardly got anything for dryfly jr & school starts Tuesday, hmmmm.
These numbers are like Holiday Sales numbers - they start early & drag on late... hard to know the full effect ever let alone over a short period of time. I'd have dismissed them if high, medium or low. Turns out they look pretty much inconclusive anyway.
"There are some troubles in southern California (spells BIG real estate troubles, sorry guys)"
5,700 jobs at Boeing phased out through 2009 in LA "spells BIG real estate trouble"?
LOL!
I wonder if such mixed reslts reflect a significant change in the pattern of consumer spending. For instance, less visits to buy pants in Gap and more spending in the visit to W-M or Target. If less consumer spending occurs, different kind of stores can face stronger competition from different retail segments. No?
General supermarkets as W-M or Target have an advantage against spezialized retailers such as Gap. Even more when gasoline is expensive.
IM, I take your point on concerns over patterns of consumer spending but Gap might be a company specific issue. Some of the limited stuff I've read is that the brand is in really tough shape. I think J.Crew is eating their lunch (its recent results have been pretty good vs. Gap). Also, Costco had crappy numbers the other day and they should benefit from peopel trying to save. So my guess is that it will be a while before you see a Wal-Mart parking lot full of BMWs and Range Rovers.
dryfly: I have a coworker who goes shopping during lunch breaks. What a life.
Dryfly - Tuesday? School locally started a month ago. Literally for my kid, though some of the neighboring districts were a week later.
Which raises the question as to whether part of the reason for the mixed success of back-to-school is that 'back to school' is different for different locations?