Cost Plus adds supply chain organization
Home & Textiles Today Staff -- Home Textiles Today, November 18, 2005
OAKLAND, Calif. -- Cost Plus, Inc. has created a supply chain organization focused on improving inventory levels, the company stated during its third-quarter earnings call today.
Heading up the new division is Ray Whitley, senior vice president of supply chain operations, who will be responsible for distribution, logistics, planning and allocation. He brings a background in inventory and supply management from Williams-Sonoma, Inc., where he was vice president of supply chain optimization and store operations.
Barry Feld, Cost Plus president and CEO, said, “We will continue to improve inventory levels as we move forward. To ensure that we continue to aggressively manage our inventory levels, we have reorganized various disciplines under a new supply chain organization that will report directly to me.”
Cost Plus reported a net loss for the third quarter of $2.7 million versus last year’s profit of $300,000.
Net sales for the quarter were up 5.4 percent, to $200.7 million from $190.4 million a year ago. Comps, on the other hand, were down 4.7 percent.
Year-to-date, the company reported a net loss of $1.3 million compared with a $6.8 million profit a year ago. The 2005 results include pre-tax charges of $3.3 million for the departure of the company’s CEO and closing of five stores.
Sales for the year were up 6.7 percent, to $603.5 million from $565.6 million last year. However, comps for the period were down 2.8 percent.
Mednick Talks to HTT about Online Trends for Textiles