My Wall Street Journal Research was conducted on  Sears, Roebuck and Company, a large retailer of apparel, home and automotive products and services.  The company, with headquarters in Hoffman Estates, Illinois, serves its customers throghout the country through 860 department stores, more than 2,100 specialized retail locations, and a variety of online offerings accessible through the company's Web site, www.sears.com.  From April 5, 2000 to May 17, 2000, there were 15 articles mentioning the firm in the Wall Street Journal.

1.  Spuires, Michael.  "Sears Roebuck Names McDonald's Pres Cantalupo To Board,"Dow Jones Newswires, Wall Street Journal Interactive Portfolio, May 11, 2000.

     Sears recently announced the naming of McDonald's Corporation President and Vice Chairman James R. Cantalupo to its board.  Sears Chairman and Chief  Executive Arthur C. Martinez believes that Cantalupo is a "superb business strategist whose vision has helped make McDonald's Corporation the largest and best-known foodservice retailer in the world."  Martinez believes that Cantalupo will be a great asset for Sears by applying his "proven business acumen" to the continual transformation of the Sears Roebuck Company essential to maintaining retail leadership. 

2.  Patterson, Philana.  "Cold Weather, Rain Make April Sales A Wash,"  Dow Jones Newswires, Wall Street Journal Interactive Portfolio, May 2, 2000.

     Cooler temperatures as well as wet weather could seriously effect Easter sales for retailers.  This year Easter has shifted towards the end of the month of April as opposed to the occuring near the begining of April last year.  It was expected that the shift would benefit sales for April rather than benefiting March sales like last year. Kurt Barnard, retail consultant, states "I am not one who usually believes weather is really a cause for a decline in sales."   But many people, including Barnard, are blaming the low sales on the poor weather conditions this year.

     Another problem that may be considered is the lack of "must have items" such as  last year's capri pants and 3/4-sleeve shirts, according to ING Barings LLC analyst Christine Kilton-Augustine.  She also considers the comeback of dressy clothes, a heightened interest in denim, and the mix of casual versus dressy clothes offered as other factors effecting April sales.

     Sears, Roebuck and Company in particular saw a strengthening in women's and children's apparel.  On the other hand, the company was "hurt by slower lawn and garden sales" according to Salomon Smith Barney analyst Richard Church.  The JC Penney Company, one of sears large competitors, is expected to report a 3-5% sales rise due largely to promotional activity.

3.  "PRESS RELEASE:  Acxiom In Multi-Yr Pact With Sears,"  Dow Jones Newswires, Wall Street Journal Interactive Portfolio, May 2, 2000.

     Sears, Roebuck and Company announced that it entered a multiyear contract with Acxicom Corporation, a global leader in Customer Data Integration and Customer Relationship Management, in hopes of enriching "existing customer relationships by creating a single view of customer data across the enterprise."  Sears will use AbiliTec, Acxiom's landmark Customer Data Integration technology, along with other existing systems.  These programs will provide Sears with a "single view of each customer's transaction history" which will be used to improve customer satisfaction and retention through more efficient marketing efforts and more informed personal interaction.  Sears has assembeled a warehouse, the "Leveraging Customer Information Warehouse" that will operate AbiliTec and contain customer information.  Sears vice president of customer information and marketing, Ann Raives believes that this opportunity with Acxiom will allow Sears to "develop highly relevant marketing approaches to customers on a one-to-one basis no matter how the customers contact Sears." 

4. Patterson, Philana.  "April Sales, Indicators Point To Retail Volatility,"  Dow Jones Newswires, Wall Street Journal Interactive Portfolio, April 27, 2000.

     Retail stock activity is expected to remain uneven in the near future.  During the April sales period, retail sales saw a dismal period, mainly due to the below-normal temperatures experienced by most of the nation.  "I think the hard part about April has been the dreary weather for the past two or three weeks," said Merrill Lynch and Company specialty retailing analyst Mark Freidman.  The low sales are also considered to be a result of "new economic data pointing to more interest rates increases."  The Sears, Roebuck and Company is expected to deliver slightly below-average numbers.  This is due mainly to the affluency of retailers such as Wal-Mart Stores, Incorporated and Target Corporation.  Due to the low sales, "market watchers expect retail investors to be choosy in the coming months."  Steve Epstein, from Morgan Stanley Investment Management, expects continual swings in most of the retail sector with investors closely watching economic reports.   However, Marshall Acaff, a market strategist believes,  "You're not going to see much movement in the retail stocks until you see the economy slow down," and  the economy is expected to keep on booming so long as employment rates remain high. 

5.  Boslet, Mark.  "Many US Companies Set Ambitious Capital Spending Goals For 2000," Dow Jones Newswires, Wall Street Journal Interactive Journal, April 25, 2000.

     Many U.S. corporations are revealing "abmitious capital-spending plans" for 2000, mainly due to the booming national and worldwide economies.  The recent swings in the financial markets have not seemed to alter an of the corporations plans so far.  Most major industries appear to be involed in the plans to increase spending.  
Many companies, incuding Wal-Mart Stores Incorporated, have already increased targets that they set only a few months ago.  For most of the business it is expected that much of the spending will be utilized for business equipment, especially computers and software, as opposed to only a quarter of the capital budgets being spent on information technology in past years.  Economic forecaster from Standard & Poor's DRI, also predicts that there will be an increased spending on construction of new commercial buildings.  Corporations already undergoing the increased spending plan include "pharmaceutical giant" Merck & Co., Du Pont Co., AT&T Corp., and IBM.  On the other hand Sears, Roebuck and Company are planning on a decrease in spending for the year, a drop to $1.033 billion from $1.2 billion in 1999.  Other companies, such as Owens-Corning and Lockheed Martin Corporation are planning on either holding spending the same or decreasing it as well.

6.  Keeton, Ann.  "Sears Shares Up 5%; Seen As Good Value-Analyst,"  Dow Jones Newswires, Wall Street Journal Interactive Portfolio, April 24, 2000.

     As investors were shying away from Nasdaq's technology stocks and turning toward retail stocks, Sears Roebuck and Company experienced a higher trade in on Monday.  "Shares traded up 4.9% at 40 1/2, well above the 52-week low of 25 1/4 set February 24.  According to Wayne Hood, a Prudential Securities analyst, Sears did well in the first quarter with high earnings numbers.  Many of Sears' competitors, including Kohl's Corporation, were also experiencing high trade-ins.  Sears is viewed as a "very good value among retail stocks," according to Hood.  But he expects the cold, wet weather and the low retail sales over the Easter weekend to hinder the sales figures for most retailers.  This low figure may cause some investors to sell Sears stock, which will in turn make up for Monday's gains, states Hood.

7.  DeFotis, Dimitra.  "Investors Seek the Sizzling Side of Sears,"  Weekday Trader, Wall Street Journal Interactive Portfolio, April 12, 2000.

   "Sears, Roebuck and Company describes itself as 'the good life at a great price'  and lately its shares have begun offering a bit of the same."  Many investors are now turning away from Internet offerings and investing in "plain Janes" like Sears due to the apparant improvement in its sales and strong earnings.  Sears caught investors' eyes when they announced their same-sotre sales raise of 3.8% over the first five weeks ending April 5.  Analysts say that "compared with other retailers, many of which reported dips in same-store sales last month, Sears is a good value."  Sears credits these raises to improvements in retail as well as its credit card side of business, which accounts for over half of its operating income.  Investors have been somewhat concerned with Sears' credit business, but the company has implemented a new program and hired risk management professionals that will hopefully prevent the problems the company had been experiencing with its credit business.  Sears is also "aggressively expanding online" in how it buys and sells goods with new ventures with Oracle and America Online. 

8.  Miller, James P.  "Sears Profit to Exceed Forecasts, Aided by Credit-Card, Retail Areas," Wall Street Journal, April 06, 2000: B13.

    Sears, Roebuck & Company experienced a 24% increase in shares after announcing that it expected to "report earnings in the range of 62 to 67 cents a share".  These expected earnings were significantly higher than the First Call/Thomson Financial analyst prediction of 46 cents a share.  The company credits these increases to "strengthened performance at its credit-card and retail operations".  This  is the second consecutive quarter in which Sears, Roebuck & Company made an early prediction an "upside earnings"; the company reported a 38% earnings gain in 1999.   The company also credits the "per-share" results from the outcome of its share-repurchase program.  Sears also predicts that full-year earnings will increase by a "low to mid-teen percentage rate" which is again significantly above the First Call/Thomson Financial prediction.

     After announcing a prediction of a large increase in first-quarter earnings, Sears, Roebuck and Company experienced a "jump" in shares, even while the trend of investors was a "continued flee from the comfort of old-economy stocks."  Sears had recently dropped from the Dow Jones Industrial Average, but predicts their first-quarter earnings to be around 62 cents and 67 cents a share.  This prediction is much higher than the 46 cent prediction from First Call/Thompson Financial's analyst survery.  Sears believes its estimate will "benefit from strength in retail, its credit business, its Sears Canada Inc. unit, and the reduction in shares outstanding following its stock buyback program." 

10.  Favate, Sam.  "Sears March Same-Store Sales Rose 3.8%,"  Dow Jones Newswires, Wall Street Journal Interactive Portfolio, April 5, 2000.

     Due to "strong retail performance, a continued strength in the credit business, strong performance from Sears Canada, and a reduction in shares outstanding resulting from the company's share repurchase program" Sears, Roebuck and Company is looking for a higher first quarter earnings as compared to last year.  The company expects its shares to come in between 62 and 67 cens per share as compared to 38 cents a share from last year.  Also, Sears is expecting earnings to "improve by a low- to mid-teen percentage rate."  It has seen a 5.4% increase in total domestic store revenue as well as a 6% rise in total revenue for the first five weeks ending April 1.  Sears credits these increases to "continued momentum" in home appliances and strong sales in home improvements, especialy lawn and garden.  Finally, Sears credits its two new online ventures with America Online Inc. and Bob Vila for strengthened performance. 

11.  Zimmerman, Ann.  "J.C. Penney Reports a Net Loss, Citing Charges for Closing Stores,"  Wall Street Journal, Interactive Journal, May 17, 2000.

    J.C. Penney recently announced a $118 million loss for the fiscal first-quarter.  The company blames this loss on "charges for closing  40 underperforming Penney Department stores, writing down inventory and revamping its buying practices."  The company, after efforts to improve operations, finds its self still struggling to attract customers to its department stores.  On the other hand, notes Donald McKay, Penney's Chief Financial Officer, the company's internet sales grew tremendously to $47 million from $6 million.  The company also owns Eckerd Pharmacies and closed 289 of these drugstores in the past year which also accounted for a large portion of the loss.  In the near future the company is hoping to issure a separate stock for Eckerd, claims McKay.  Although the company experienced a loss, its revenues did increase by 2.6% from last year.  Rick Church of Saolomon Smith Barney believes that the J.C. Penney Company is "doing what they need to be doing, but it will still be a while before we can look at the business and say they're on the right track."

12.  Zimmerman, Ann.  "J.C. Penney Op Chief Seen As Contender For Top Job,"  Dow Jones Newswires, Wall Street Journal, Interactive Journal, May 12, 2000.

      The chief executive, James Oesterreicher, of the J.C. Penney Company announced an earilier than expected retirement.  The company is now in search of a new CEO capable of "leveraging the products, logistics and supply chain management of Eckerd's and J.C. Penney."  Vanessa Castagna, who is presently executive vice president for the company, is strongly considered to be one of the possible successors for the open position.  Castagna was hired by Oesterreicher into the J.C. Penney Company six months ago from Wal-Mart Stores Inc., "where she was the highest-ranking female executive."  During the time she has worked for the J.C. Penney Compnay, Castagna has "worked to streamline operations", "centralized the company's buying efforts", and focused on updating the stores products to more contemprary styles and bigger brand names.  Castagna believes that she holds a great position as COO, but would "do whatever the board wants her to" if asked to take the position as CEO.

13.  Zimmerman, Ann.  "J.C. Penney Says Chairman Oesterreicher Will Step Down,"  Wall Street Journal, Interactive Journal, May 5, 2000.

     James E. Oesterreicher, chairman and cheif executive officer of the J.C. Penney Company will retire earlier than expeted.  Oesterreicher feels, even though he is retiring 2 years earlier than the traditional retirement age, that it is the right time for him to leave.  He had been CEO of the company since 1997 and informed Penney directors of his plans to retire several months ago.  The compnay is now in search of a successor for Oesterreicher and is planning on looking internally and externally for a new top executive.  The executive-search firm, Spencer Stuart Management Consultants, is working with J.C. Penney in the search for a new CEO.  J.C. Penney has been experiencing slumping sales and earning for many quarters.  Even though the company stands as one of the largest retailers in the U.S. it is falling to other discounters, including Target Corporation, Kohl's Corporation, and the Old Navy unit of Gap Incorporated.  Oesterreicher believes that the purchase of Eckerd, the company's online growth, and the new position on merchandising will assist the company in getting out of its slump.

14.  "J.C. Penny Co Long-Term Ratings Cut By S&P,"  Dow Jones Newswires, Wall Street Journal, Personal Journal, May 4, 2000.
 

     Thursday Standard and Poor's lowered J.C. Penney Company's long-term ratings.  Standard and Poor's claims that the ratings reflect the company's department sotres' continual poor perfofmance.  Standard and Poor's "believes that J.C. Penney will continue to struggle to regain its competitive position in department store retailing."  S&P claims, even though J.C. Penney is attemping to improve operations and to strengthen management, that they expect the company to continue to have problems. 
     The rating agency reported that the company "has been troubled for several years by merchandising and marketing strategies that were not sufficiently appealing or attractive to its core customers."  J.C. Penney did poorly during the time that most other retailing companies performed well, caused by, S&P suggests, "weakening overall results and credit measures."
     Although the J.C. Penney's department stores have received low ratings from S&P, its Eckerd drug stores are viewed favorably.  Overall the rating company suggests that there is a possibility of the J.C. Penney Company being able to turn around but the necessary time, economic environment, and intense competion are all obstcles that may inhibit the company's progress.  "Therefore, if there is no clear sign of improvement in operations a downgrade is possible within two years," suggests Standard and Poor.

15.  Hutchison, Katherine.  "J.C. Penney up 13.6%; Said It Might Sell Direct Marketing Unit,"  Dow Jones Newswires, Wall Street Journal, Personal Journal, May 2, 2000

    After announcing a plan to sell its Direct Marketing Services unit on Tuesday, J.C. Penney experienced a 14% increase in shares.  The Direct Marketing Services' operations inculde selling insurance which doesn't "associate with J.C. Penney and which represents a small, noncore part of its total business."  J.C. Penney has been working with Credit Suisse First Boston to search for different strategic plans to better company processes.  The company decided to direct their focus on its core businesses; department stores, catalog sales, and Eckerd drugstores.  The sale of the Direct Marketing Services unit is part of Penney's strategy to increase shareholder value.  In addition to the sale, the company will restructure the department store business, revamp its management, and set Eckerd drugstores aside as a separate company.  Paine Webber Inc. analyst Jeffrey Edelman believes that Penney's is "trying to streamline their department store business and run it the way an efficient retailership should be run, instead of the way Penney management ran for over 100 years."