In Wisconsin, Bentley World Packaging lost a major contract to operate a warehouse. 97 people out-o-work by the end of March. Also, Coca-Cola announced its closing down its Sheboygan factory. 40 people out-o-work by the end of March. The soda-pop maker did not give a reason why!
In Michigan, the Ferndale Schools Board of Education agreed to lay off two teachers, reduce one to part time, and use up the district’s rainy day fund. They blame declining student enrollment.
Children’s clothing store, Little Colony Kids, out-o-business in Homewood, Illinois. The store had been in operation for 57 years, the owners blamed the closing on the bad economy.
Bridgeway Center, in Florida, ending all inpatient services by the end of March! The health care provider blames ridiculously low state reimbursements. Company officials say it costs them $516.58 per bed to operate the facility, but the state pays only $293.24 per bed. The result is that their Crisis Stabilization Unit is shorted $3573.44 every day! The problem is that state legislators have not adjusted their payments since 1993! Bridgeway Center says Florida ranks 49th for the number of low income people without insurance, and 49th for state funding of mental health care.
Ohio based supplier of drugs and medical supplies, Cardinal Health, to layoff 180 people by June! Company officials say they are trying to anticipate future supply demands and price expectations of customers (meaning they think both will come down).
In California, biopharmaceutical company Amgen to layoff 157 employees by April! Last year the drugs company laid off 400 people! Company officials basically gave the same reason for the layoffs as Cardinal Health.
In Missouri, an iconic quilt shop for 34 years, now closed. The owner of Patches said she needed “…to move on.”
In Virginia, after less than a year the Southern Estates Books and Antiques in Riverwalk Landing shut down. The Economic Development Authority had combined three stores into one, thinking it would be more successful, but instead they essentially destroyed three businesses.
In Las Vegas, Nevada, tech startup ecomom laid off almost all its employees. Four excecs are staying on at greatly reduced pay. It has something to do with the suicide of one of the co-founders, which is probably related to the bad economy. One of the remaining execs hinted to employees how bad the economy really is: “There are financial stressors on the business that we are confronting and along with the board of directors, the executive team is moving forward with plans to restructure the business so that it may continue to be a place parents can rely on.”-Marcus Nucci, president
Utah based Associated Food Stores will close down two warehouses in Montana, by April. 106 people out-o-work! Company officials say they are consolidating their warehouse system, which they hope will help them keep prices down for their grocery store customers.
In Tacoma, Washington, after nearly 60 years in business Meier’s House of Clocks is no more. The owner said they have been struggling for years since the electronics revolution, but since 2005 business for them crashed.
In Alaska, the Black Market tobacco store closed down. The owner retired after 40 years in business.
Another investment company going down: Wall Street Journal reported that LPL Financial has failed to meet expectations and that will result in some of their 2,900 employees losing their jobs in the next six months.
The Michigan Brewing Company now bankrupt. What was a homebrew success story (even supplying the brew for Kid Rock’s own brand American Bad Ass Beer) ended in tragic financial failure. The family running the company admitted they screwed up, they’ve lost all the company’s money as well as their own. The question is, where did all the money go? Company records show that the brewer had record sales year after year! Also, the company constantly failed to pay debts and taxes! So where’s all the money? If you read the reports it turns out that this is a clear example of debt financing out-o-control. The family has been financing the operations with loans from day one. Then they started missing payments, resulting in legal actions, and assets being seized. Still, they were able to get more loans, as their sales were always up. The problem is that all their profits were going to try an catch up their debts, finally the creditors said no more, and called in their chips (known as deleveraging).
Remember Eddie Murphy’s Cill My Landlord bit on Saturday Night Live? If not watch the Pros & Cons skit here. And for reasons to Cill My Landlord, read on…
In Anderson, California, the owner of Top`ings Yogurt has decided not to renew her $2000 USD per month lease. The owner blamed the landlord: “I wasn’t happy with the lease agreement.”-Lindsey Kossol
In Florida, a birthday party center shut down. The owners of Bounce U blamed their rent: “Often I am told that this business must be a gold mine, and that we always seem so busy. Truthfully renting a facility of this size and maintaining the day to day expenses is much higher than many realize.”-The Armstrong Family
The Rain or Shine gardening store will close in March. The Portland, Oregon, store had been in business for 23 years. The owner blamed the landlord’s high rent!