Thread regarding Barnes & Noble layoffs

How the lease triggers a store closing

In the past, BN would only close stores when the lease is due to expire. So, when any given store is underperforming and due for a renewal of the lease, then it will probably close. As leases are signed all throughout the year, it's impossible to say when store closings are going to happen.

Also, the company will sometimes leverage individual markets and economic conditions to sometimes sign a year-to-year lease, assuming they can lean on the landlord hard enough to get a better (lower) rent. There are also kickbacks involved, depending on the local landlord and how the NYC real estate bulls were able to beat them up. If, for instance, a store is in a failing mall where one or more of the anchors has vacated, the landlord will either rebate (of forgive) part of the rent; this, is some cases, will make an underperforming store still profitable--because the biggest non-controllable expense is usually the rent.

Naturally, this matters little if BN gets into a position where it can no longer pay the rents for its hundreds of stores. When this happens, it's game over.

Thought that @YIxDu1u-1txn wrote a good post that shines a good light on the situation.

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| 1364 views | | 11 replies (last April 26, 2019) | Reply
Post ID: @OP+YJXPFck

11 replies (most recent on top)

I don’t think anyone has to worry about 20 customers in line in front of you anymore.

But of course, there is no reason to go there.

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Post ID: @2hce+YJXPFck

Friend of mine went to a Barnes recently, and said the ladies' room was an atrocity. It looked like it hadn't been cleaned all day. I told her it was probably because they laid maintenance staff off last year and don't have enough people to clean it.

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Post ID: @2gwa+YJXPFck

I haven't spent any money at Barnes in over a year. I wanted to buy a CD recently, and it was cheap there, but when I added on driving costs, it was cheaper to buy it online. In addition to that, Barnes customer service is so bad now they might screw up the order, and I don't feel like waiting 20 minutes in line while one cashier rings up 20 people in front of me.

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Post ID: @2gij+YJXPFck

Haven’t spent ANY money at BN since last February. Me or my friends and family.... bought ALL books from Amazon & toys too. Paid Less than if I had my BN discount. that’s how much their markup is. Especially on toys & DVDs !

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Post ID: @2xyi+YJXPFck

I’m with you too. No more money spent at Barnes & Noble. Make them close quicker.

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Post ID: @2ecn+YJXPFck

Yes !

Not spending money at BN is making a huge difference. Sales are dismal which is creating a bad work environment which is making everyone crazy. A lot of our regularThose let go last year don’t realize how lucky they were . The ones from my store have all gone on to better jobs. Those left don’t know day to day whether they’ll have jobs or if the store will remain open. I too hope to be gone soon. Have an interview today. Wish me luck!

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Post ID: @1qfj+YJXPFck

Does your store manager lie to people interviewing for jobs, telling them how great the position is?

We laugh every time someone is interviewing for a manager's position and take bets on how long before they're p-ss-d off and leave. The smart ones always leave within the year.

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Post ID: @pch+YJXPFck

I’m currently employed by BN. Following leads, going on interviews. Looking to get out. Unrealistic expectations with hardly any help.!just want to say Barnes is feeling your lack of spending there. Business, sales are in bad shape at my store and I know at others in our district. They are feeling it. They are noticing! You , your family & friends are making a difference !

I will join you. I won’t spend anymore here. No more lattes or food, nothing !

If all goes well I’ll be out of here soon. Forget 2wks notice. They won’t give me that when they fire us or close down.

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Post ID: @ssd+YJXPFck

After being fired, for no reason other than being a dedicated full time, career employee, I asked everyone on my social media pages to not spend a penny at BN. Told all my friends. Told everyone in my family. I know others who were let go, did the same. This company is losing money. “ underperforming “ because of their actions. I just totaled it up. What I spent on Christmas & Birthdays ( what I always bought from my BN for 8 years !) on family and friends. Approx $678. I spent at Amazon. Times that the 3000 plus they let go. ( not the 1800 lie they told the press to look good) That’s over $2million BN has lost. A drop in the bucket , right ? Riggio probably got more in his recent dividend. It may not be much to BN corporate but I say we get the word out and get more on board to stop putting money in BN’s pocket !

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Post ID: @ozs+YJXPFck

There's underperforming and there's losing money. Because the accountants in NYC set the sales goals, if a store doesn't hit those goals, it doesn't mean that it's losing money.

The accountants (and the upper management) can set any goals they want--I want a golden unicorn that defecates Krugerrands, but I'm highly unlikely to get one for Christmas. In terms of losing money, that's a different story. No matter how the company cooks the books, either a store makes money or loses money, it's like the law of gravity.

Hence, an "underperforming" store might stay open (at least for awhile) while a store losing money will get the chop when the lease expires.

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Post ID: @gpa+YJXPFck

99% are “underperforming “.

Can’t believe they’re still open.

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Post ID: @qkv+YJXPFck

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