Click here to view this media Ed Schultz talked to former Secretary of Labor Robert Reich about the potential impasse we’re looking at now and whether our government might be shut down if we can’t get both sides to come to some agreement on our budget. Reich laid out pretty plainly just how dangerous it is to be talking about cuts at all while our economy is still so fragile. I’m glad to see someone like Reich out there attempting to change the political dialog on these budget cuts and Ed Schultz having him on because for the most part our media is just accepting the Villager common wisdom that the poor and working class must suffer because our country “is broke” and we can’t ever in a million years ask the ones holding more wealth in our country that has not been seen since the Gilded Age to ever have to suffer the horrible fate of paying more in taxes. The fact that political games are being played in order to demand more from the working class while we have the largest income disparity since the Gilded Age is just disgusting, but it’s not surprising given the fact that our political class for the most part has been bought and sold by their campaign contributors. Ed did a nice job of laying out pretty plainly just how many people it’s going to do harm to if the government is shut down. You want a passport, forget about it. Want to take a vacation at a national monument, they’ll be closed. You’re a veteran who relies on the VA for assistance, don’t count on it. You work for a government contractor or one of their suppliers, your orders might not be coming in any time soon. You were expecting your Social Security or Medicare checks, well maybe not. Want to be warned by the National Institute of Health on disease control, never mind that. Reich went on to explain how cutting the deficit right now is just insane and rightfully slammed President Obama for not leading on this issue and calling out Republicans for just how harmful their demands are going to be to our economy. I agree with Reich and instead of using the bully pulpit when he’s the one person in this country who’s got it, he’s instead giving them credibility that somehow slashing spending is going to cure our economic woes and our budget battles have turned into an argument over who’s going to cut more instead of whether cutting at all instead of raising taxes is what we ought to be doing. Here’s more from Reich on where we’re headed and it’s not a pretty picture. Until our politicians decide that the American voters they’re supposed to represent matter more than their campaign donors, we’re in a world of hurt and it’s not going to change until more of us start demanding that they start representing their constituents instead of those donors. It would be nice to see campaign finance reform as a theme at more of these protests around the country since that really is the heart of the problem with the corruption in our politics. It’s not just greed. It’s that greed being allowed to buy off our politicians to perpetuate it at the expense of the rest of us. The Truth About the Economy that Nobody In Washington Or On Wall Street Will Admit: We’re Heading Back Toward a Double Dip : Why aren’t Americans being told the truth about the economy? We’re heading in the direction of a double dip – but you’d never know it if you listened to the upbeat messages coming out of Wall Street and Washington. Consumers are 70 percent of the American economy, and consumer confidence is plummeting. It’s weaker today on average than at the lowest point of the Great Recession. The Reuters/University of Michigan survey shows a 10 point decline in March – the tenth largest drop on record. Part of that drop is attributable to rising fuel and food prices. A separate Conference Board’s index of consumer confidence, just released, shows consumer confidence at a five-month low — and a large part is due to expectations of fewer jobs and lower wages in the months ahead. Pessimistic consumers buy less. And fewer sales spells economic trouble ahead. What about the 192,000 jobs added in February? (We’ll know more Friday about how many jobs were added in March.) It’s peanuts compared to what’s needed. Remember, 125,000 new jobs are necessary just to keep up with a growing number of Americans eligible for employment. And the nation has lost so many jobs over the last three years that even at a rate of 200,000 a month we wouldn’t get back to 6 percent unemployment until 2016. Read on…
Continue reading …On Wednesday's All Things Considered, NPR's Ari Shapiro acted as a stenographer for the Obama administration's energy proposals. Shapiro played four clips from the President's recent speech on the issue, and another from a sympathetic environmentalist. Even the lone clip from an oil industry representative came from someone who ” supports the move to invest in biofuels and clean energy .” At the beginning of his report , the correspondent noted that “the White House described this event as a pivot away from speeches about Libya and Japan. But President Obama acknowledged that those crises make it important to talk about energy now.” After playing his first clip from the chief executive, who stated that “the situation in the Middle East implicates our energy security,” Shapiro stayed within the perspective set by the Democrat: ” America's past is strewn with moments when a global crisis has driven up the price of gas or scared people about the risks of nuclear energy .” The NPR reporter continued by playing up Mr. Obama's past speeches during trips to green energy industrial site: ” This president often travels the country, speaking at electric car battery plants, wind turbine manufacturers, or solar panel factories. Today's speech at Georgetown University tied together many of the proposals from those events. It's not an either/or approach to energy. It's both/and .” Later, Shapiro barely touched on the critiques of the White House's energy policy before playing a clip of the President giving his talking point about his reluctance to encourage domestic oil production: SHAPIRO: Oil industry executives say President Obama has limited domestic energy production by imposing new regulations on drilling. Mr. Obama called that a useful political sound bite that doesn't track with reality, and he also suggested that it's beside the point . OBAMA: Even if we drilled every drop of oil out of every single one of the reserves that we possess, offshore and onshore, it still wouldn't be enough to meet our long-term needs. We consume about 25 percent of the world's oil. We only have 2 percent of the reserves. Near the end of his report, the correspondent finally turned to his two non-Obama sound bites, one from Erik Milito of the American Petroleum Institute, the “biofuels and clean energy” backer who also touched on the reality of the country's continuing need for oil and natural gas, and Dale Bryk of the Natural Resources Defense Council. He ended by touting the administration's point that their proposals would help create jobs. The full transcript of Ari Shapiro's report from Wednesday's All Things Considered: MELISSA BLOCK: President Obama took the long view today. With gas prices going up and trouble with the nuclear plant in Japan, the President said in a speech that the U.S. must become less dependent on foreign sources of energy. He wants to cut American oil imports by a third over the next decade. NPR's Ari Shapiro reports on how the President plans to get there. ARI SHAPIRO: The White House described this event as a pivot away from speeches about Libya and Japan. But President Obama acknowledged that those crises make it important to talk about energy now. PRESIDENT BARACK OBAMA (from speech at Georgetown University): Obviously, the situation in the Middle East implicates our energy security. The situation in Japan leaves us to ask questions about our energy sources. SHAPIRO: America's past is strewn with moments when a global crisis has driven up the price of gas or scared people about the risks of nuclear energy. President Obama said every one of his predecessors, going back to Richard Nixon, has talked about energy independence, and nobody ever manages to do anything about it. OBAMA: We cannot keep going from shock, when gas prices go up, to trance, when they go back down. SHAPIRO: This president often travels the country, speaking at electric car battery plants, wind turbine manufacturers, or solar panel factories. Today's speech at Georgetown University tied together many of the proposals from those events. It's not an either/or approach to energy. It's both/and. OBAMA: Meeting the goal of cutting our oil dependence depends largely on two things. First, finding and producing more oil at home. Second, reducing our overall dependence on oil with cleaner alternative fuels and greater efficiency. SHAPIRO: Oil industry executives say President Obama has limited domestic energy production by imposing new regulations on drilling. Mr. Obama called that a useful political sound bite that doesn't track with reality, and he also suggested that it's beside the point. OBAMA: Even if we drilled every drop of oil out of every single one of the reserves that we possess, offshore and onshore, it still wouldn't be enough to meet our long-term needs. We consume about 25 percent of the world's oil. We only have 2 percent of the reserves. SHAPIRO: Erik Milito of the American Petroleum Institute supports the move to invest in biofuels and clean energy. ERIK MILITO: But, you know, we have to remember there's 250 million cars on the road. We can convert a lot of them, but, at the same time, we're going to need oil and natural gas for many decades to come. SHAPIRO: Dale Bryk of the Natural Resources Defense Council is optimistic that this time around, the promise of reducing foreign oil consumption for clean energy could actually come true. DALE BRYK: This is an area of global competition, and the Chinese and the Germans and the Danes are eating our lunch, and I don't think the American people or American businesses are going to stand for that. SHAPIRO: And the White House hopes that investing in domestic energy production will have another positive side effect: by creating energy at home, companies create jobs at home, too. Ari Shapiro, NPR News, Washington. — Matthew Balan is a news analyst at the Media Research Center. You can follow him on Twitter here .
Continue reading …I was glad Apple pulled a Christian ‘gay cure’ group’s iPhone app that misused my research, but it shouldn’t have been in the store Last week, the Guardian reported a controversy regarding an iPhone and iPad app for Exodus International . Exodus is an ex-gay ministry promising “freedom from homosexuality through the power of Jesus”. The Exodus website homepage displayed a “4+” consumer rating from Apple, signifying “no objectionable material” in the app. According to other news reports , almost 150,000 person petitioned Apple to remove the app in a public action led by an organisation called Truth Wins Out (TWO) . As part of its work, TWO checks the facts about homosexuality in published materials; and it notifies scientists of possible misrepresentations of research findings. Through TWO, I learned of erroneous references to my work in an article by Jeff Buchanan, a senior director at Exodus , accessible through the Exodus app. The work in question (Remafedi et al, 1992) was a report of research done with about 36,000 Minnesota secondary school students. It is one of the largest studies of adolescent sexual orientation done to date; and it was published in a high impact peer-reviewed journal, Pediatrics. This was one of several reports of mine that have been repeatedly misrepresented in recent years. Although each episode had its unique features, some recurring themes, issues and errors (for example, a characteristic misspelling of my surname and a consistent error in a citation date) have emerged from the muck. I have responded consistently and specifically to the misrepresentations that have come to my attention. Addressing each incident has been, frankly, a time-consuming nuisance – especially since some of the references to my work have been so far afield from the original writings that there was reason to doubt they were even read. In this most recent case, I wrote to Apple CEOs Jobs and Cook on 21 March about the misrepresentation of our work in an article accessible via the Exodus app. Retraction of the 4+ rating and deletion of the app were requested as relief. The complaint was directed to Apple, instead of Exodus, because of the risk of spreading and perpetuating misinformation to iPhone users via the app. A spokesperson for Apple, quoted in the Minneapolis Star Tribune , explained the final decision: “We removed the Exodus International app from the App Store because it violates our developer guidelines by being offensive to large groups of people.” Although the conclusion was welcomed, the statement opened the door to new criticisms that Apple had caved in to a public rabble and washed its hands of the matter. According to WebProNews, Exodus International President Chambers tweeted the reaction : “Incredibly disappointing. Watch out, it could happen to you.” In the aftermath of the decision, there were lingering questions about: the app’s original approval and 4+ rating, the decision to remove it, Exodus’s interest in my research, and lessons to be learned from the incident. Tackling these issues requires some basic information about US law and scientific knowledge of homosexuality. The first amendment of the United States Constitution provides freedom of religion and freedom of expression from governmental interference. It states: “Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the government for a redress of grievances.” Under the first amendment, corporations like Apple have no obligation to publish every app that comes their way. On the contrary, it permits businesses to conduct their affairs without legislative interference, unless a compelling public interest is at stake. According to Thomas Jefferson, one of the framers, the first amendment also puts a “wall of separation” between church and state; and subsequent laws have bolstered it by prohibiting discrimination in the workplace based on religion or lack thereof . Thus, there is no reason to factor religious considerations into commercial decisions like Apple’s as a matter of law. The freedoms afforded by the first amendment are core values, precious to the American people. Still, there are limits to the expression of speech and religion. For example, the first amendment does not protect the expression of ideas that incite crime, violence or reckless public endangerment. There are other limits on the exercise of religious beliefs. The American Academy of Pediatrics has asserted: “Constitutional guarantees of freedom of religion do not permit children to be harmed through religious practices, nor do they allow religion to be a valid legal defense when an individual harms or neglects a child.” (See American Academy of Pediatrics, Policy Statement “Religious Objections to Medical Care”.) In my opinion, efforts to promote and provide so-called reparative therapy cross the boundaries of protected speech under the first amendment at this time in history, especially when it comes to children and minors. From a medical and scientific perspective, homosexuality is not a medical or mental health condition. Based on the findings of multiple investigators from various disciples over decades of research, a powerful case can be made that claims to cure or change sexual orientation are patently false. The American Medical Association, the American Psychiatric Association, the American Academic of Pediatrics, the American Counseling Association and other professional organisations have found such practices to be unwarranted, ineffective, unethical and harmful, and have opposed them in no uncertain terms. According to the Roman axiom, caveat emptor (aka “buyer beware”), adopted into British-based common law, competent adults who seek unorthodox treatments to repair “broken sexual identities” may do so at their own risk. However, where children and vulnerable adults are involved, caveat emptor does not apply; and the burden of proving that treatments are safe and effective shifts to adults who should know better. This may explain why groups like Exodus International have kept my work in their sights. Without scientific grounds for their stand on the treatment issues, such groups have either taken pot shots at seminal research that is incompatible with their practices or have twisted the findings to suit their own purposes. Adolescent sexuality and its health implications have been the central themes of my research in pediatrics and adolescent medicine. When the work began some 25 years ago, “homosexuality” and other versions of the diagnosis (for example, “ego dystonic homosexuality”) had recently been removed from the Diagnostic and Statistical Manual of Psychiatry . The existence of homosexual children and youth was barely recognised; and homosexuality was widely believed to be an adult phenomenon. Children and youth who said they were gay were considered misguided, delusional and in need of psychiatric attention. Early studies done with colleagues in pediatrics and public health were among the first to involve youth with well-established gay identities. They chronicled the normal processes of sexual orientation development in childhood and adolescence. They described the impact of isolation and stigma on the occurrence of medical and psychosocial problems. Based on what was learned about adolescent sexual behavior, the spread of HIV/Aids to adolescents was anticipated at a time when the illness was known only as an adult “gay-related immune deficiency”. The research led to the establishment of the Youth and Aids Projects , one of the first HIV/Aids service organisations for young people. Beyond HIV/Aids, the research has uncovered evidence of other significant healthcare disparities related to sexual orientation and suicide, substance use, tobacco use, eating disorders and other problems of public health significance. At the risk of sounding self-congratulatory, these works are mentioned as the basis of actions taken to stop distortions of research and harm to vulnerable children and youth. I wrote to Apple asking that the corporation remove an app from the iPhone because it misrepresented our findings and used them in support of erroneous claims that adolescents are confused about sexual orientation and that they can be changed. As I wrote then, and still believe now, associating my work with these claims was “professionally injurious and grievous”. There are many lessons to be learned from the incident. Controversy around Exodus’s app was predictable and preventable. By definition, an app that could be expected to draw complaints from thousands of people did not meet Apple’s established criteria for a 4+ rating. To my knowledge, there has been no explanation of the rating, acknowledgment of responsibility, expression of appreciation for the gravity of the incident, or any amends made on behalf of consumers who were hurt. Any and all of such remedies would help allay dissatisfaction at the way the matter was handled. In the future, it would be appropriate for IT corporations to screen the contents of smartphones apps carefully. In the interest of fairness, corporate quality control review processes and rating standards should be objective, fair and transparent. It would be reasonable to ask vendors to describe their organisations and target audiences, provide up-to-date inventories of online contents, and anticipate the potential risks for consumers and sponsors. Under the guise of the first amendment, groups like Exodus International can be expected to promote so-called reparative therapy and misconstrue research that exposes its fallacious premises. This is not likely to stop until injured parties come forward to claim relief for the harms they have incurred. Until then, this investigator will continue doing what he can to assure that scientific finding are translated to general audiences with fidelity and integrity. Apple iPhone iPad Apps Christianity Young people Gay rights United States Religion US constitution and civil liberties Freedom of speech Gary Remafedi guardian.co.uk
Continue reading …Click here to view this media Oddly enough, the only mention whatsoever of the New Black Panthers Party on Fox News in the past few days was the above snippet, one of Bill O’Reilly’s “Reality Check” tidbits near the end of his show on Tuesday. Odd, because there was this significant bit of news involving the NBPP case that has been the subject of so much coverage and discussion at Fox for the past year: The Obama Justice Department did not improperly let politics or the race of the defendants affect the handling of a high-profile civil voter intimidation case against members of the New Black Panther Party, a probe by DOJ’s Office of Professional Responsibility (OPR) concluded after an extensive investigation. Justice Department attorneys “did not commit professional misconduct or exercise poor judgment, but rather acted appropriately, in the exercise of their supervisory duties in connection with the dismissal of the three defendants in the NBPP case,” the head of OPR wrote in a letter to Rep. Lamar Smith (R-Texas) obtained by TPM. OPR’s investigation began in the summer of 2009. After an extensive investigation which included reviews of the New Black Panther Party file, “thousands of pages of internal Department e-mails, memoranda, and notes” and interviews with 44 current and former Department employees, OPR “found no evidence that the decision to dismiss the case against three of the four defendants was predicated on political considerations,” wrote DOJ’s Robin Ashton. This is most odd indeed. Why, we can remember when our Fox morning and afternoon broadcasts were dominated by the breathless coverage of the NBPP scandal, including that nasty catfight on Megyn Kelly’s show when Kirtsen Powers tried to point out that there was no there there, and of course video and audio of racially incendiary rants by NBPP leaders . It was always pathetically obvious as race-baiting goes, but then, Fox is nothing if not shameless. Indeed, as Matt Gertz at Media Matters explains, Fox has been obsessing about the NBPP for the better part of the past couple of years, evidently certain that an Obama-dooming scandal lay therein: For nearly two years, the right wing has been obsessed with the decision by those senior career attorneys to drop civil charges against three defendants affiliated with the New Black Panther Party who allegedly intimidated voters at a Philadelphia polling place in 2008. This fixation became stronger last year, when two DOJ attorneys on the trial team who are linked the Bush administration’s politicization of the DOJ claimed in media appearances and in testimony that the DOJ’s actions were part of a pattern of racially-charged corruption at the department, in which lawyers there refused to protect white voters from intimidation by minorities. These allegations received a ready airing on Fox News, but they simply never added up: There was simply no evidence that this was anything more than a disagreement between career attorneys on how to apply a rarely-used provision of the Voting Rights Act; the Obama DOJ did get obtain an injunction against one of the defendants in the case; it also took action in another case to protect white voters from intimidation by black political leaders; and the Bush administration had failed to take action in a similar case in which Latino voters were allegedly intimidated by whites. And yet, this week, nary a word about these findings could be found on Fox, particularly not on Megyn Kelly’s show, where the coverage was high-pitched, heavy-handed and heavily promoted. Adam Serwer at the Plum Line observes: Republicans seized on this case for one reason, and one reason only. Despite the absence of any actual intimidated voters, and the hasty, weak nature of the original case, the GOP sought an opportunity to inflame white resentment by leveling charges that President Barack Obama and Attorney General Eric Holder are racist against white people. Though the staffers who filed the case have also been cleared, conservative media seized on the case to support a narrative of white racial victimhood, where virtually every single policy of the administration is attributed to a covert hatred for white people. Indeed, this was manifest in the only mention of the NBPP at Fox this week — the O’Reilly snippet above. It’s played as a demonstration of just how beyond the pale this racist group really is, since it even attacks President Obama. But why the NBPP? Why give them any airtime at all? As we noted when Fox was running another incendiary NBPP rant, it’s certainly an easy thing to dig up racially incendiary video and audio snippets from right-wing hate groups and their leaders, because there is no shortage of them whatsoever. One can just as readily find equally nasty things being said about Obama by David Duke in his weekly podcasts, or by Stormfront’s Don Black or some other Ku Klux Klan/Aryan Nations/Hammerskins hatemonger. They’re much easier to find than the comparatively tiny handful of such rants produced by anti-white racists such as the NBPP. So why did O’Reilly give this one airtime? For the same reason the NBPP was Fox’s favorite whipping boy for the past year: Because publicizing the work of an insignificant and tiny faction of black haters is a handy way of scaring white viewers into believing all kinds of nonsense.
Continue reading …The latest presidential approval poll shows Barack Obama's ratings at his lowest point of his tenure: 42 percent. But the three major broadcast networks took no notice whatsoever on their Wednesday evening newscasts. Neither CBS, NBC, nor ABC reported the Quinnipiac poll results on their respective evening news broadcasts. The results, released Wednesday, recorded 42 percent of respondents approving of the job President Obama is doing, and 48 percent disapproving.
Continue reading …My wife has admitted to once experimenting with a threesome, but how do I stop myself from obsessing about what she did years ago? I’m in love with a wonderful woman. Our sex life is healthy but she told me (quite flippantly) she had experimented with a threesome before we met, and it’s really troubling me. I wonder about the gory details. It makes me feel incredibly uncomfortable and I wish she had never told me. She said she wasn’t ashamed of it, it was years ago, and that she loves me and would never do anything to hurt me. Initially she suggested a threesome with me, gauged my reaction, then never mentioned it again. How do I put this irrelevant stuff out of my mind? Or is it irrelevant? My level-headed self tells me that it is. It is not uncommon for a person to find threesomes highly erotic. At some level you know this was nothing to do with you, but you are battling with two aspects of your psyche. First, jealously is a natural human emotion and we are wired to feel uncomfortable about the idea of a lover being with someone else against our wishes. Second, there is an obsessional part of your brain that gets locked into thinking about this subject. This requires urgent attention, so I recommend this thought-stopping technique: whenever the subject enters your mind, 1) notice it, 2) interrupt that thought and 3) replace it with something more positive and realistic – such as “I love her, and the past is unimportant”. Some people wear an elastic bracelet they can snap to jolt them into awareness. Eradicate these negative thoughts before they sabotage your relationship. • Pamela Stephenson Connolly is a clinical psychologist and psychotherapist who specialises in treating sexual disorders. • Email your problem to private.lives@guardian.co.uk Sex Relationships Pamela Stephenson Connolly guardian.co.uk
Continue reading …Struggling wine retailer becomes victim of triple threat of credit crunch, supermarkets and tax collectors Oddbins looks likely to become the retail sector’s latest victim after the struggling wine retailer caved in to the combined forces of the credit crunch, supermarkets and tax collectors, and went into administration. All 400 jobs at the 128-strong chain are at risk, although the company said it remained optimistic that some could be saved. Simon Baile, the managing director who took control of the firm in 2008, said: “We very much regret the need to make so many staff redundant and we are working diligently to find a buyer for the majority of the business so that as many jobs as possible may be saved.” Oddbins, which started life in 1963 and was once celebrated for its expertise and eccentric staff, was forced to give up the fight after HM Revenue & Customs – a key creditor, to which the chain owes about £8m in taxes and duties – opposed a rescue plan which the firm believed was essential to its survival. It is now likely to be wound up and sold off in chunks, with the cash raised going to owners and creditors. Despite its feted past, Oddbins was loss-making for most of this century, squeezed by the might of the supermarkets which now account for 70% of UK wine sales and can deliver sancerres and shirazes to the door along with the weekly groceries. Former competitors such as Unwins, Wine Cellar and First Quench Retailing – owner of Threshers, Wine Rack and The Local – have already gone. Only Majestic Wine has thrived, carving out a successful upmarket niche that occupies similar ground to Oddbins in its heyday. Following a difficult Christmas and with the retail environment showing signs of getting even tougher, Oddbins was unable to secure sufficient backing for a rescue plan that would have seen landlords agree to a 30% cut in rents, and payment in monthly rather than quarterly instalments. The deal equated to a payment to landlords of about 21p in the pound. An Oddbins spokesman said Baile reported that “a number of potential investors have come forward to buy the business, or parts of it, as a going concern and although nothing is certain he remains optimistic”. The news came amid another grim day for the sector, which has seen shoppers retrench in the face of rising prices, higher VAT and the uncertainty created by government cuts. Mothercare and Laura Ashley both warned that trading had deteriorated considerably in recent weeks while Easy Living Furniture, a 20-strong chain in the south of England, also went into administration. H&M, the Swedish fashion chain with a large presence in the UK, announced a surprise 30% dip in its profits in the three months to February, as it suffered from the widespread decline in consumer spending. The prospect of any recovery on the high street was further dented as the Bank of England reported that the number of people defaulting on their mortgages rose unexpectedly in the first three months of the year. Howard Archer, chief UK and European economist at IHS Global Insight, said: “Consumer confidence remains extremely weak, thereby maintaining concern that consumers will be very cautious in their spending over the coming months in the face of serious headwinds. “Consumers’ purchasing power is currently being increasingly squeezed by high and rising inflation in tandem with ongoing muted wage growth overall. In addition, the weak housing market has adverse repercussions for consumer spending,” he added. The developments continued the bad news in what has been one of the gloomiest weeks for retail announcements in years, causing the spotlight to shine even brighter on the government’s public spending cuts. It emerged on Tuesday that Britons’ spending power fell last year for the first time in three decades. So-called real household disposable income – the total income of Britain’s working and unemployed populations after taxes and adjusted for inflation – dropped by 0.8% in 2010, according to the Office for National Statistics. On Wednesday, the boss of electricals group Dixons said that the government’s cuts were having a “chilling effect” on consumers as the group announced that like-for-like sales at its Currys and PC World stores in Britain and Ireland tumbled by 11% in the last 11 weeks. Signet announced weak trading at its H Samuel and Ernest Jones stores in the UK. DFS, the sofa retailer, said growth had slowed and even Domino’s Pizza, the stock market darling, was forced to admit that it was being dragged down by its Irish stores where like-for-like sales dropped more than 10% in the first quarter. Retail industry Dixons Retail Mothercare Laura Ashley Wine Tom Bawden Fiona Beckett guardian.co.uk
Continue reading …Struggling wine retailer becomes victim of triple threat of credit crunch, supermarkets and tax collectors Oddbins looks likely to become the retail sector’s latest victim after the struggling wine retailer caved in to the combined forces of the credit crunch, supermarkets and tax collectors, and went into administration. All 400 jobs at the 128-strong chain are at risk, although the company said it remained optimistic that some could be saved. Simon Baile, the managing director who took control of the firm in 2008, said: “We very much regret the need to make so many staff redundant and we are working diligently to find a buyer for the majority of the business so that as many jobs as possible may be saved.” Oddbins, which started life in 1963 and was once celebrated for its expertise and eccentric staff, was forced to give up the fight after HM Revenue & Customs – a key creditor, to which the chain owes about £8m in taxes and duties – opposed a rescue plan which the firm believed was essential to its survival. It is now likely to be wound up and sold off in chunks, with the cash raised going to owners and creditors. Despite its feted past, Oddbins was loss-making for most of this century, squeezed by the might of the supermarkets which now account for 70% of UK wine sales and can deliver sancerres and shirazes to the door along with the weekly groceries. Former competitors such as Unwins, Wine Cellar and First Quench Retailing – owner of Threshers, Wine Rack and The Local – have already gone. Only Majestic Wine has thrived, carving out a successful upmarket niche that occupies similar ground to Oddbins in its heyday. Following a difficult Christmas and with the retail environment showing signs of getting even tougher, Oddbins was unable to secure sufficient backing for a rescue plan that would have seen landlords agree to a 30% cut in rents, and payment in monthly rather than quarterly instalments. The deal equated to a payment to landlords of about 21p in the pound. An Oddbins spokesman said Baile reported that “a number of potential investors have come forward to buy the business, or parts of it, as a going concern and although nothing is certain he remains optimistic”. The news came amid another grim day for the sector, which has seen shoppers retrench in the face of rising prices, higher VAT and the uncertainty created by government cuts. Mothercare and Laura Ashley both warned that trading had deteriorated considerably in recent weeks while Easy Living Furniture, a 20-strong chain in the south of England, also went into administration. H&M, the Swedish fashion chain with a large presence in the UK, announced a surprise 30% dip in its profits in the three months to February, as it suffered from the widespread decline in consumer spending. The prospect of any recovery on the high street was further dented as the Bank of England reported that the number of people defaulting on their mortgages rose unexpectedly in the first three months of the year. Howard Archer, chief UK and European economist at IHS Global Insight, said: “Consumer confidence remains extremely weak, thereby maintaining concern that consumers will be very cautious in their spending over the coming months in the face of serious headwinds. “Consumers’ purchasing power is currently being increasingly squeezed by high and rising inflation in tandem with ongoing muted wage growth overall. In addition, the weak housing market has adverse repercussions for consumer spending,” he added. The developments continued the bad news in what has been one of the gloomiest weeks for retail announcements in years, causing the spotlight to shine even brighter on the government’s public spending cuts. It emerged on Tuesday that Britons’ spending power fell last year for the first time in three decades. So-called real household disposable income – the total income of Britain’s working and unemployed populations after taxes and adjusted for inflation – dropped by 0.8% in 2010, according to the Office for National Statistics. On Wednesday, the boss of electricals group Dixons said that the government’s cuts were having a “chilling effect” on consumers as the group announced that like-for-like sales at its Currys and PC World stores in Britain and Ireland tumbled by 11% in the last 11 weeks. Signet announced weak trading at its H Samuel and Ernest Jones stores in the UK. DFS, the sofa retailer, said growth had slowed and even Domino’s Pizza, the stock market darling, was forced to admit that it was being dragged down by its Irish stores where like-for-like sales dropped more than 10% in the first quarter. Retail industry Dixons Retail Mothercare Laura Ashley Wine Tom Bawden Fiona Beckett guardian.co.uk
Continue reading …Struggling wine retailer becomes victim of triple threat of credit crunch, supermarkets and tax collectors Oddbins looks likely to become the retail sector’s latest victim after the struggling wine retailer caved in to the combined forces of the credit crunch, supermarkets and tax collectors, and went into administration. All 400 jobs at the 128-strong chain are at risk, although the company said it remained optimistic that some could be saved. Simon Baile, the managing director who took control of the firm in 2008, said: “We very much regret the need to make so many staff redundant and we are working diligently to find a buyer for the majority of the business so that as many jobs as possible may be saved.” Oddbins, which started life in 1963 and was once celebrated for its expertise and eccentric staff, was forced to give up the fight after HM Revenue & Customs – a key creditor, to which the chain owes about £8m in taxes and duties – opposed a rescue plan which the firm believed was essential to its survival. It is now likely to be wound up and sold off in chunks, with the cash raised going to owners and creditors. Despite its feted past, Oddbins was loss-making for most of this century, squeezed by the might of the supermarkets which now account for 70% of UK wine sales and can deliver sancerres and shirazes to the door along with the weekly groceries. Former competitors such as Unwins, Wine Cellar and First Quench Retailing – owner of Threshers, Wine Rack and The Local – have already gone. Only Majestic Wine has thrived, carving out a successful upmarket niche that occupies similar ground to Oddbins in its heyday. Following a difficult Christmas and with the retail environment showing signs of getting even tougher, Oddbins was unable to secure sufficient backing for a rescue plan that would have seen landlords agree to a 30% cut in rents, and payment in monthly rather than quarterly instalments. The deal equated to a payment to landlords of about 21p in the pound. An Oddbins spokesman said Baile reported that “a number of potential investors have come forward to buy the business, or parts of it, as a going concern and although nothing is certain he remains optimistic”. The news came amid another grim day for the sector, which has seen shoppers retrench in the face of rising prices, higher VAT and the uncertainty created by government cuts. Mothercare and Laura Ashley both warned that trading had deteriorated considerably in recent weeks while Easy Living Furniture, a 20-strong chain in the south of England, also went into administration. H&M, the Swedish fashion chain with a large presence in the UK, announced a surprise 30% dip in its profits in the three months to February, as it suffered from the widespread decline in consumer spending. The prospect of any recovery on the high street was further dented as the Bank of England reported that the number of people defaulting on their mortgages rose unexpectedly in the first three months of the year. Howard Archer, chief UK and European economist at IHS Global Insight, said: “Consumer confidence remains extremely weak, thereby maintaining concern that consumers will be very cautious in their spending over the coming months in the face of serious headwinds. “Consumers’ purchasing power is currently being increasingly squeezed by high and rising inflation in tandem with ongoing muted wage growth overall. In addition, the weak housing market has adverse repercussions for consumer spending,” he added. The developments continued the bad news in what has been one of the gloomiest weeks for retail announcements in years, causing the spotlight to shine even brighter on the government’s public spending cuts. It emerged on Tuesday that Britons’ spending power fell last year for the first time in three decades. So-called real household disposable income – the total income of Britain’s working and unemployed populations after taxes and adjusted for inflation – dropped by 0.8% in 2010, according to the Office for National Statistics. On Wednesday, the boss of electricals group Dixons said that the government’s cuts were having a “chilling effect” on consumers as the group announced that like-for-like sales at its Currys and PC World stores in Britain and Ireland tumbled by 11% in the last 11 weeks. Signet announced weak trading at its H Samuel and Ernest Jones stores in the UK. DFS, the sofa retailer, said growth had slowed and even Domino’s Pizza, the stock market darling, was forced to admit that it was being dragged down by its Irish stores where like-for-like sales dropped more than 10% in the first quarter. Retail industry Dixons Retail Mothercare Laura Ashley Wine Tom Bawden Fiona Beckett guardian.co.uk
Continue reading …Struggling wine retailer becomes victim of triple threat of credit crunch, supermarkets and tax collectors Oddbins looks likely to become the retail sector’s latest victim after the struggling wine retailer caved in to the combined forces of the credit crunch, supermarkets and tax collectors, and went into administration. All 400 jobs at the 128-strong chain are at risk, although the company said it remained optimistic that some could be saved. Simon Baile, the managing director who took control of the firm in 2008, said: “We very much regret the need to make so many staff redundant and we are working diligently to find a buyer for the majority of the business so that as many jobs as possible may be saved.” Oddbins, which started life in 1963 and was once celebrated for its expertise and eccentric staff, was forced to give up the fight after HM Revenue & Customs – a key creditor, to which the chain owes about £8m in taxes and duties – opposed a rescue plan which the firm believed was essential to its survival. It is now likely to be wound up and sold off in chunks, with the cash raised going to owners and creditors. Despite its feted past, Oddbins was loss-making for most of this century, squeezed by the might of the supermarkets which now account for 70% of UK wine sales and can deliver sancerres and shirazes to the door along with the weekly groceries. Former competitors such as Unwins, Wine Cellar and First Quench Retailing – owner of Threshers, Wine Rack and The Local – have already gone. Only Majestic Wine has thrived, carving out a successful upmarket niche that occupies similar ground to Oddbins in its heyday. Following a difficult Christmas and with the retail environment showing signs of getting even tougher, Oddbins was unable to secure sufficient backing for a rescue plan that would have seen landlords agree to a 30% cut in rents, and payment in monthly rather than quarterly instalments. The deal equated to a payment to landlords of about 21p in the pound. An Oddbins spokesman said Baile reported that “a number of potential investors have come forward to buy the business, or parts of it, as a going concern and although nothing is certain he remains optimistic”. The news came amid another grim day for the sector, which has seen shoppers retrench in the face of rising prices, higher VAT and the uncertainty created by government cuts. Mothercare and Laura Ashley both warned that trading had deteriorated considerably in recent weeks while Easy Living Furniture, a 20-strong chain in the south of England, also went into administration. H&M, the Swedish fashion chain with a large presence in the UK, announced a surprise 30% dip in its profits in the three months to February, as it suffered from the widespread decline in consumer spending. The prospect of any recovery on the high street was further dented as the Bank of England reported that the number of people defaulting on their mortgages rose unexpectedly in the first three months of the year. Howard Archer, chief UK and European economist at IHS Global Insight, said: “Consumer confidence remains extremely weak, thereby maintaining concern that consumers will be very cautious in their spending over the coming months in the face of serious headwinds. “Consumers’ purchasing power is currently being increasingly squeezed by high and rising inflation in tandem with ongoing muted wage growth overall. In addition, the weak housing market has adverse repercussions for consumer spending,” he added. The developments continued the bad news in what has been one of the gloomiest weeks for retail announcements in years, causing the spotlight to shine even brighter on the government’s public spending cuts. It emerged on Tuesday that Britons’ spending power fell last year for the first time in three decades. So-called real household disposable income – the total income of Britain’s working and unemployed populations after taxes and adjusted for inflation – dropped by 0.8% in 2010, according to the Office for National Statistics. On Wednesday, the boss of electricals group Dixons said that the government’s cuts were having a “chilling effect” on consumers as the group announced that like-for-like sales at its Currys and PC World stores in Britain and Ireland tumbled by 11% in the last 11 weeks. Signet announced weak trading at its H Samuel and Ernest Jones stores in the UK. DFS, the sofa retailer, said growth had slowed and even Domino’s Pizza, the stock market darling, was forced to admit that it was being dragged down by its Irish stores where like-for-like sales dropped more than 10% in the first quarter. Retail industry Dixons Retail Mothercare Laura Ashley Wine Tom Bawden Fiona Beckett guardian.co.uk
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