Is It True???

Decorating By diane Updated 10 Aug 2009 , 10:05pm by cylstrial

diane Posted 5 Aug 2009 , 4:40pm
post #1 of 24

i heard that michael's is going out of business. icon_eek.gif

has anyone else heard this?? i don't know what i would do if they went out of business. i get most of my supplies from them. icon_surprised.gif

23 replies
Kiddiekakes Posted 5 Aug 2009 , 4:45pm
post #2 of 24

I also heard that they might be closing some stores due to economic times..It probably will be the smaller stores in smaller markets who make less profit.

Doug Posted 5 Aug 2009 , 4:55pm
post #3 of 24

false.

even Wall St. Journal has nothing on this as of this afternoon.


and according to their most recent quarterly report:
http://idea.sec.gov/Archives/edgar/data/740670/000110465909036959/a09-14823_110q.htm

they are in the black (tho' they took a bath in red ink last year)

Kiddiekakes Posted 5 Aug 2009 , 4:56pm
post #4 of 24

Thanks Doug...Good to know....I like Michael's for more than cake decorating stuff!!

diane Posted 5 Aug 2009 , 9:02pm
post #5 of 24

doug,

thanks...and btw...what are you...a human computer??!!! icon_lol.gif

Rose_N_Crantz Posted 6 Aug 2009 , 5:47am
post #6 of 24

Doug is actually an alias that several geniuses are posting under so they can appear to be one superhuman! icon_biggrin.gificon_biggrin.gificon_biggrin.gificon_biggrin.gif

jillangel Posted 8 Aug 2009 , 8:52pm
post #7 of 24

Not the way I spend money there. Even with coupons I keep them in business! LOL

jammjenks Posted 8 Aug 2009 , 10:40pm
post #8 of 24
Quote:
Originally Posted by Rose_N_Crantz

Doug is actually an alias that several geniuses are posting under so they can appear to be one superhuman! icon_biggrin.gificon_biggrin.gificon_biggrin.gificon_biggrin.gif




I think you're right! icon_lol.gif

Doug Posted 8 Aug 2009 , 10:46pm
post #9 of 24

"superhuman"

you do NOT want to see me in a spandex hero suit. icon_rolleyes.gif

jillmakescakes Posted 9 Aug 2009 , 12:26am
post #10 of 24

Doug- why doesn't it surprise me that you HAVE a spandex suit? icon_lol.gif

snowynight Posted 9 Aug 2009 , 12:38am
post #11 of 24

My husband works at the local Michael's here in Western NC and he hasn't heard anything so I think all is safe for now. At least I hope so!

MyDiwa Posted 9 Aug 2009 , 1:01am
post #12 of 24

I think the rumors are probably mixing Michaels up with Wilton. They are under threat of bankruptcy.

Carolynlovescake Posted 9 Aug 2009 , 1:07am
post #13 of 24

I asked at work today and got a hearty laugh and head shakes out of our SM and ASM.

They told me to stop believing everything I hear on the internet.

I laughed back and said if I believed it I'd be in there crying over it and being a dooms day predictor asking the store would be shutting it's doors for good and asking for the property managers phone number so I could open up a cake supply store in the same location and instead I asked if the rumor was true.

They sobered up and said they had not heard of anything and if it was true it would be all over the news since Michael's is a large chain in the US/Canada... they had a point.

Yes is going through a struggle. It was explained to me it was more of a forced bankruptcy reorg, and from what I've heard it's not in trouble yet, it's more of it's large creditors insuring they will be the first in line to get paid if indeed things go wrong financially so the bankruptcy reorg is forced on Wilton. (not sure where the truth about forced/unforced and I don't care and as long as I get to continue teaching classes I'm happy.)

southaustingirl Posted 9 Aug 2009 , 8:44pm
post #14 of 24

"About Wilton Brands Inc.
Wilton Brands Inc., based in Woodridge, Illinois, has united multiple creative consumer products companies to produce a market leader with a strategic focus on product innovation and quality. Wiltons product portfolio includes food crafting, scrapbooking, and other craft products. Wilton has the number one position in cake decorating, bakeware and tea kettles. It offers the industry´s most comprehensive and innovative selection of baking, cake decorating, candy making, cookie making, wedding and seasonal products. In addition, the company is the leader in scrapbooking as well as a marketer of some of the craft industrys most respected brands of embellishments, stickers, and punches through the EK Success and K & Company product lines. The company also launched the Martha Stewart Crafts line in May 2007. More information can be found at www.wilton.com."


Wilton and scrapbooking???

diane Posted 10 Aug 2009 , 5:57pm
post #15 of 24
Quote:
Originally Posted by CarolynGwen

I asked at work today and got a hearty laugh and head shakes out of our SM and ASM.

They told me to stop believing everything I hear on the internet.

I laughed back and said if I believed it I'd be in there crying over it and being a dooms day predictor asking the store would be shutting it's doors for good and asking for the property managers phone number so I could open up a cake supply store in the same location and instead I asked if the rumor was true.

They sobered up and said they had not heard of anything and if it was true it would be all over the news since Michael's is a large chain in the US/Canada... they had a point.

Yes is going through a struggle. It was explained to me it was more of a forced bankruptcy reorg, and from what I've heard it's not in trouble yet, it's more of it's large creditors insuring they will be the first in line to get paid if indeed things go wrong financially so the bankruptcy reorg is forced on Wilton. (not sure where the truth about forced/unforced and I don't care and as long as I get to continue teaching classes I'm happy.)





i didn't hear this on the web, but on t.v. icon_wink.gif

cs_confections Posted 10 Aug 2009 , 6:15pm
post #16 of 24
Quote:
Originally Posted by southaustingirl

Wilton and scrapbooking???




When we were in Michaels last week, DH was getting their t-shirts and a package of iron-on printer transfers...He looked puzzled and pointed to a row of the iron-ons. We were shocked to see they were made by Wilton. I also thought they just had products cakes, cookies, brownies and some wedding items. It seems they are dabbling in other craft areas, too.

Carolynlovescake Posted 10 Aug 2009 , 6:19pm
post #17 of 24
Quote:
Originally Posted by diane

Quote:
Originally Posted by CarolynGwen

I asked at work today and got a hearty laugh and head shakes out of our SM and ASM.

They told me to stop believing everything I hear on the internet.

I laughed back and said if I believed it I'd be in there crying over it and being a dooms day predictor asking the store would be shutting it's doors for good and asking for the property managers phone number so I could open up a cake supply store in the same location and instead I asked if the rumor was true.

They sobered up and said they had not heard of anything and if it was true it would be all over the news since Michael's is a large chain in the US/Canada... they had a point.

Yes is going through a struggle. It was explained to me it was more of a forced bankruptcy reorg, and from what I've heard it's not in trouble yet, it's more of it's large creditors insuring they will be the first in line to get paid if indeed things go wrong financially so the bankruptcy reorg is forced on Wilton. (not sure where the truth about forced/unforced and I don't care and as long as I get to continue teaching classes I'm happy.)




i didn't hear this on the web, but on t.v. icon_wink.gif




Yeah but they asked where I found out and I said "from someone on the internet" They asked where they heard it and let them know I didn't ask.

Was it a local station or major network (CNN type)?

I'd love to see what you saw and see what they had to say.

Debluvs2bake Posted 10 Aug 2009 , 6:47pm
post #18 of 24

Michaels Corporate is one of my customers (store fixtures). Just last week I shipped a proto of a new receptacle. They are opening/relocating 30 stores in 2010. They are owned by two huge investment groups and plan to go public in the next 12-18 months. They are a financially sound company and though sales are down due to the recession, they are doing well. They are not going anywhere.

Peridot Posted 10 Aug 2009 , 6:48pm
post #19 of 24

Wilton going out of business would be just as bad as Michael's closing its doors!! I use their basic stuff like gumpaste and fondant for bows, etc. No - not to cover the cake!

Debluvs2bake Posted 10 Aug 2009 , 6:50pm
post #20 of 24

Michaels Corporate is one of my customers (store fixtures). Just last week I shipped a proto of a new receptacle. They are opening/relocating 30 stores in 2010. They are owned by two huge investment groups and plan to go public in the next 12-18 months. They are a financially sound company and though sales are down due to the recession, they are doing well. They are not going anywhere.

diane Posted 10 Aug 2009 , 6:53pm
post #21 of 24
Quote:
Originally Posted by CarolynGwen

Quote:
Originally Posted by diane

Quote:
Originally Posted by CarolynGwen

I asked at work today and got a hearty laugh and head shakes out of our SM and ASM.

They told me to stop believing everything I hear on the internet.

I laughed back and said if I believed it I'd be in there crying over it and being a dooms day predictor asking the store would be shutting it's doors for good and asking for the property managers phone number so I could open up a cake supply store in the same location and instead I asked if the rumor was true.

They sobered up and said they had not heard of anything and if it was true it would be all over the news since Michael's is a large chain in the US/Canada... they had a point.

Yes is going through a struggle. It was explained to me it was more of a forced bankruptcy reorg, and from what I've heard it's not in trouble yet, it's more of it's large creditors insuring they will be the first in line to get paid if indeed things go wrong financially so the bankruptcy reorg is forced on Wilton. (not sure where the truth about forced/unforced and I don't care and as long as I get to continue teaching classes I'm happy.)




i didn't hear this on the web, but on t.v. icon_wink.gif



Yeah but they asked where I found out and I said "from someone on the internet" They asked where they heard it and let them know I didn't ask.

Was it a local station or major network (CNN type)?

I'd love to see what you saw and see what they had to say.




it was a local station, but it was when i was visiting a friend is southern california, so i don't remember which station it was...i wasn't paying attention to that. icon_wink.gif

Doug Posted 10 Aug 2009 , 7:58pm
post #22 of 24

if you look back at the research I did, and the comments Debluvs2bake made...

1) they are sound and fully in the BLACK aka money in the bank

2) they are doing "realignment" -- closing under performing stores and opening new ones in areas where there is a greater chance of success.

so - yes while diane was in CA she may have heard of "Michaels closing - going out of business" -- that was a given store or set of stores, money loosing, that closed.

Because 1 or even 4 or 5 or more stores close does NOT mean all the stores are closing -- just the ones not carrying their weight.

gosh if that were the case, every time WalMart closed a store so they could move it and "supercenter" size it, they'd have been out of business long ago

diane Posted 10 Aug 2009 , 9:25pm
post #23 of 24
Quote:
Originally Posted by Doug

if you look back at the research I did, and the comments Debluvs2bake made...

1) they are sound and fully in the BLACK aka money in the bank

2) they are doing "realignment" -- closing under performing stores and opening new ones in areas where there is a greater chance of success.

so - yes while diane was in CA she may have heard of "Michaels closing - going out of business" -- that was a given store or set of stores, money loosing, that closed.

Because 1 or even 4 or 5 or more stores close does NOT mean all the stores are closing -- just the ones not carrying their weight.

gosh if that were the case, every time WalMart closed a store so they could move it and "supercenter" size it, they'd have been out of business long ago





thanks doug for clearing this all up...i really love michael's and rely on them a great deal for products! thumbs_up.gif

cylstrial Posted 10 Aug 2009 , 10:05pm
post #24 of 24
Quote:
Originally Posted by Doug


Because 1 or even 4 or 5 or more stores close does NOT mean all the stores are closing -- just the ones not carrying their weight.




It's true. Companies aren't going to keep a store around that's not profitable. I used to be a District Manager for a women's clothing company. Every year they would pick 2 or 3 of their worst performing stores and close them. They would also open anywhere from 5 to 8 new stores.

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