LIGHTS OUT IN COAL COUNTRY. The U.S. coal industry lost 8,000 jobs, about 15 percent of its dwindling workforce, in the last 12 months, U.S. Labor Department figures show.
Earlier this month, the coal companies Lighthouse Resources and White Stallion Energy declared bankruptcy, bringing to at least five the number of coal producers who have sought court protection this year.
The bankrupt producers have been small so far, but Peabody Energy, one of the nation’s oldest and largest coal companies, warned investors this fall that there is “substantial doubt” whether it can survive after losing $1.7 billion in the first nine months of this year.
“Within the U.S., coal generation [among electric utilities] is down 24% through September as COVID has accelerated what was previously projected to be a multiyear decline in coal demand,” Peabody CEO Glenn Kellow said in a statement announcing the company’s troubles.
That multi-year decline was evident in 2019 when U.S. mines produced 35 percent less coal than in 2009 at the depths of the Great Recession and fell to a level last seen in 1978.
Natural gas burns cleaner than coal and the fracking boom has made gas also cheaper than coal, persuading utilities and manufacturers to accede to public demands for cleaner fuels and shift plants from coal to gas.
LIVE EVENTS INDUSTRY HAS LOST $30 BILLION THIS YEAR. The figure represents tickets not sold, concert trade publication Pollstar said, with sales lost to ancillary vendors such as ticket companies, hotels, restaurants, souvenir suppliers, and transportation companies adding another $8 billion.
BY CHLOE, VEGAN RESTAURANT CHAIN, GOES BUST. The chain, which owns 14 U.S. sites and has licensed its name to operators in Toronto and London, has filed for Chapter 11 bankruptcy after seeing its sales fall by two-thirds since February and laying off more than half its employees.
The company has put itself up for sale.
Three restaurants remained closed; the others are operating at limited capacities.
The chain was shifting from vegan fare to a more mainstream menu.
CHRISTOPHER & BANKS PONDERS BANKRUPTCY. The Minnesota-based clothier known for dressing older women is considering either selling the company or filing for bankruptcy as the economic shutdown has kept customers away from its 450 stores across 44 states.
The pandemic and economic shutdown have had an “outsize impact on our customer demographic as her shopping behavior is more pragmatic with limited demand for new outfits in the absence of social engagements,” CEO Keri Jones said in a statement announcing that the company lost $10.8 million in its quarter ending 31 October.
During the period, sales fell 23 percent to $72.8 million year over year. The result improved on the 50-percent sales slide earlier in 2020 but still fell short of the company’s expectations.
The company took a $10-million loan from the federal Paycheck Protection Program, which it expects will be entirely forgiven.
Christopher & Banks reported having just $1.2 million cash on hand.
After being delisted from the New York Stock Exchange in April 2019, the company’s shares now trade on the OTC Pink Market, where the price fell more than 50 percent on 10 December to close at 14 cents.
DESIGNER BRANDS REPORTS THIRD-QUARTER REVENUE SLIDE. The parent company of DSW Designer Shoe Warehouse lost $40.6 million in the third quarter, compared to a profit of $43.5 million a year earlier.
Revenue plunged 30 percent to $652.9 million, against $933.8 million during the same period in 2019. Analysts had forecast $661 million for the most recent quarter.
A bright spot: the company’s sales of athletic and children’s footwear rose 26 percent.
GAPPED OUT. The GAP announced that it is permanently closing its flagship Toronto store at 60 Bloor Street West where they have been for over 30 years.
With all non-essential stores have been forced to remain closed throughout the holiday season, and may be allowed to reopen on January 20, there will be many permanent closings and bankruptcies of other businesses in the city over the coming year.
It should be noted that since March when the COVID War was launched, out of a population of nearly 3 million people there have been 1,171 virus deaths or 0.0572 percent of the population. Moreover, the average death rate in Canada is estimated at 80 years.
Yet, despite these facts, the city is locked down and businesses, lives, and livelihoods are being destroyed.
