Retail Roundup: Office Depot to Close 112 Stores, Wholesale Sales Decline, More

Office Depot to shutter 112 stores --- Office Depot Inc. plans to close 112 under-performing North American locations, slashing 2,200 jobs in the process, according to a Dec. 10 filing. Shares rose 9.1 percent after the world's second-largest office-supplies retailer made the decision to shut down nearly 10 percent of its stores and eliminate 4.5 percent of its workforce. The company has posted losses for the past six quarters as businesses curtailed their spending, buying fewer office chairs and computers. [Source: Bloomberg]

Wholesale sales decline at record levels -- Wholesalers trimmed their October inventories by the largest amount since the downturn that hit the nation after 9/11 as their sales dropped in record-breaking numbers. Wholesalers reduced their inventories by 1.1 percent during the month, a steeper decline than economists had expected, according to the Commerce Department. Meanwhile, sales at the wholesale level dropped by 4.1 percent during the period, the largest decline on record. [Source: The New York Times]

Economy alters engagement-ring trends, sales -- The economic downturn has begun to affect every corner of the retail industry, influencing engagement-ring trends that were thought to be set in stone -- literally. Late fall is typically the busiest time of the year for jewelers selling solitaire diamonds -- an estimated 28 percent of all engagements happen around the holidays -- but many jewelry retailers say they're noticing consumer cutbacks. At Kay Jewelers and Jared The Galleria of Jewelry, shoppers have been purchasing rings with a few small diamonds rather than the traditional eye-popping solitaire, which comes at a greater price. Meanwhile, Blue Nile Inc. says its customers have increasingly began to opt for non-traditional engagement rings hinged on less-expensive colored gemstones. [Source: Heard on the Runway]

Oh, Deere: Judge denies retirees' injunction -- A federal judge denied an injunction Dec. 11 to return select Deere & Co. retirees' health benefits to the way they were before Jan. 1, 2008. The Flex Retirees Organization filed a lawsuit several months ago claiming that alterations Deere made to their health-insurance benefits violated promises the company made to 5,000 former employees. Senior Judge Charles R. Wolle, who denied the injunction, said his order is not an indication of the case's final outcome. [Source: TradingMarkets.com]