Daily Archives: October 13, 2008

Sony (SNE) Opts To Let PS3 Prices Stay High For Holidays: Guts On Parade

R218533_855025Sony Corp. (SNE) has elected not to mark down the price of its PlayStation 3 system for the holidays. The most basic version of the console, which was released in November 2006, is currently priced at $399, compared with $199 for Microsoft’s (MSFT) Xbox 360.

Sony Compouter Entertainment president and CEO Kazuo Hirai told The Financial Times that the PS3 is a good value because it plays Blu-Ray DVDs and that, instead of discounting, the company has added more value to the machine including increased memory and "Home," a much-anticipated online community: "When you really compare apples to apples, then I think we have a very good value proposition."

Read More »

Posted on: October 13, 2008 – 3:37 am in Video Games, ,

Starbucks (SBUX) Goes Into Litigation After Store Closings

StarbucksThe turnaround at Starbucks (SBUX) has been tough since Howard Schultz returned as CEO in January. The stock is down nearly 50% year-to-date as the company returns it focus to coffee, rearranges it scheduling system to give full-time employees a greater presence, and battles lower cost providers such as McDonald’s (MCD).

Now, it has some lawsuits to deal with just for fun. As the company seeks to close 600 U.S. stores over the next few months, The Wall Street Journal reports that "a handful of property owners and developers have filed lawsuits alleging that the Seattle coffee giant owes them money for rent or other expenses on properties where the company has shut down a store or decided not to open one after entering a lease. At least seven lawsuits have been filed against Starbucks since last year, but the anger isn’t limited just to litigants. . . Some landlords contend Starbucks is paying rent late or darkening stores before specifying the closure dates to make the landlords wary of a fight and to pressure them into letting the company out of leases for a price they deem too low."

Read More »

Posted on: October 13, 2008 – 2:54 am in Retail, ,

Media Digest 10/13/2008 Reuters, WSJ, NYTimes, FT, Bloomberg

NewspaperAccording to Reuters, world markets are waiting to see how the bailout of banks in Europe and the US will work.

Reuters reports that Japan’s Mitsubishi UFJ Financial Group is looking for more favorable terms in its $9 billion buy-out of Morgan Stanley (MS).

Reuters reports that the UK will put $64 billion into its major banks.

Reuters writes that Wells Fargo (WFC) won Fed approval for its Wachovia (WB) takeover.

Read More »

Posted on: October 13, 2008 – 2:49 am in Press Digest, , , , , , , , , ,

Asia Markets 1/13/2008 Indexes Surge, Europe Opens Up

JapMarkets in Asia were sharply higher.

Japan was closed for a holiday.

The Hang Seng rose 7.1% to 15,847.

The Shanghai Composite rose 3.7% to 2,074.

In Europe, The DAX was up 5.9% to 4,812. The CAC 40 rose 3.7% to 3,294.

Data from Reuters.

Douglas A. McIntyre

Posted on: October 13, 2008 – 2:15 am in International Markets