econintersect.com
       
  

FREE NEWSLETTER: Econintersect sends a nightly newsletter highlighting news events of the day, and providing a summary of new articles posted on the website. Econintersect will not sell or pass your email address to others per our privacy policy. You can cancel this subscription at any time by selecting the unsubscribing link in the footer of each email.



What We Read Today 05 February 2015

Econintersect: Every day our editors collect the most interesting things they find from around the internet and present a summary "reading list" which will include very brief summaries (and sometimes longer ones) of why each item has gotten our attention. Suggestions from readers for "reading list" items are gratefully reviewed, although sometimes space limits the number included.

BECOME A GEI MEMBER - IT's FREE!

Everyday most of this column is available only to GEI members.

To become a GEI Member simply subscribe to our FREE daily newsletter.

Staples agrees to buy Office Depot for $6.3 billion (Yashaswini Swamynathan, Reuters, MSN Money)  The No. 1 U.S. office supplier,Staples (NASDAQ:SPLS), agreed to buy nearest rival Office Depot Inc (NASDAQ:ODP) in a $6.3 billion cash-and-stock deal to better compete against online and big-box retailers - read Amazon (NASDAQ:AMZN) and Walmart (NYSE:WMT).  The deal will value ODP at $11 a share (based on SPLS closing price 02 February), a premium of 44% over its closing price 02 February 2015 (Monday).  Questions exist about anti-trust clearance from the FTC (Federal Trade Commission) - see next article.


Office Depot-Staples Tie-up Would Test How Regulatory Thinking Has Evolved (Brent Kendall, The Wall Street Journal)  Nearly 20 years ago the FTC (Federal Trade Commission) succeeded in blocking a previous merger attempt between Staples (NASDAQ:SPLS) and Office Depot (NASDAQ:ODP) on anti-trust grounds.  Today significant competition in the office supply space from Amazon (NASDAQ:AMZN), Target (NYSE:TGT) and Walmart (NYSE:WMT) are likely to overcome any questions about control of the market.  See next article.


For Staples and Office Depot, a Merger of Equal Problems (Paul Vigna, MoneyBeat, The Wall Street Journal)  Both companies have had falling sales in recent years.  Peak sales for Office Depot came in 2007 and for Staples it was 2011.  According to this article, loss of competition can not be a concern because the two companies today combine for only 6% of the office supplies market.  Here is an excerpt:

This isn’t a deal that’s being executed from a position of strength, and the benefits being touted – about $1 billion worth of cost cuts and promises of new strategies to boost sales – seem relatively tame. An FTC report from the time of the 2013 tie-up of Office Depot/OfficeMax – itself a combination of two struggling companies – made it clear that these companies are not in control of their market anymore.



This post continues but only for our Premium Content Subscribers. All newsletter subscribers are given access to the complete post. There are approximately 200 articles reviewed every week in the full post.


The rest of the post is for our premium content subscribers.

To subscribe to premium content is a no cost signup:

Econintersect sends a nightly newsletter highlighting news events of the day, and providing a summary of new articles posted on the website. This newsletter contains links to complete posts (such as "What We Read Today") which are not available to other readers at the website. The newsletter is the key into membership at Econintersect.

Econintersect will not sell or pass your email address to others per our privacy policy. You can cancel this subscription at any time by selecting the unsubscribing link in the footer of each email.











Make a Comment

Econintersect wants your comments, data and opinion on the articles posted.  As the internet is a "war zone" of trolls, hackers and spammers - Econintersect must balance its defences against ease of commenting.  We have joined with Livefyre to manage our comment streams.

To comment, using Livefyre just click the "Sign In" button at the top-left corner of the comment box below. You can create a commenting account using your favorite social network such as Twitter, Facebook, Google+, LinkedIn or Open ID - or open a Livefyre account using your email address.



You can also comment using Facebook directly using he comment block below.





Make a Comment

Econintersect wants your comments, data and opinion on the articles posted.  As the internet is a "war zone" of trolls, hackers and spammers - Econintersect must balance its defences against ease of commenting.  We have joined with Livefyre to manage our comment streams.

To comment, just click the "Sign In" button at the top-left corner of the comment box below. You can create a commenting account using your favorite social network such as Twitter, Facebook, Google+, LinkedIn or Open ID - or open a Livefyre account using your email address.






Econintersect Behind the Wall



search_box

Print this page or create a PDF file of this page
Print Friendly and PDF


The growing use of ad blocking software is creating a shortfall in covering our fixed expenses. Please consider a donation to Econintersect to allow continuing output of quality and balanced financial and economic news and analysis.


Take a look at what is going on inside of Econintersect.com
Main Home
Analysis Blog
Tax Reform: The Good, the Bad, and the Really Ugly, Part Three
A New Era of Central Banking?
News Blog
What We Read Today 24 February 2017
My Cat Is My Valentine - Furball Fables
17 February 2017: ECRI's WLI Growth Index Again Moderately Declines
Final February 2017 Michigan Consumer Sentiment Inches Up. Better Than Forecast
January 2017 Headline New Home Sales Significantly Improve But Below Expectations
Why The Proposed Border Tax Adjustment Is Unlikely To Promote U.S. Exports
Rail Week Ending 18 February 2017: Improvement Continues
Infographic Of The Day: Cannabis Law: The Past, Present And Future
Early Headlines: Asia Stocks, Dollar And Oil All Slip. Gold Steady, US Oil Exports Surge, Trump Backs Priv. Prisons, WH Hints Pot Crackdown, London Home Prices Slow, Trump Policies Will Help China And More
When Evidence Says No, But Doctors Say Yes
Pacific Rim States Affected By Trump's War On Free Trade
Real Paleo Diet: Early Hominids Ate Just About Everything
Amazon's Global Workforce Is Growing Rapidly
Investing Blog
Can You Spot Low Risk Entries?
Technical Thoughts: Trading, Luck Or Skill?
Opinion Blog
Fed Up: Culture Shock
Kenneth Arrow's Ignored Impossibility Theorem
Precious Metals Blog
Deflation And Gold: A Contrarian View
Live Markets
24Feb2017 Market Close: Wall Street Rose From Session Lows To Close In The Green Near The Unchanged Line, Short-Term Indicators And Analysts Questioning Continuing Bull Run
Amazon Books & More






.... and keep up with economic news using our dynamic economic newspapers with the largest international coverage on the internet
Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government





























 navigate econintersect.com

Blogs

Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day
Weather

Newspapers

Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government
     

RSS Feeds / Social Media

Combined Econintersect Feed
Google+
Facebook
Twitter
Digg

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution

Contact

About

  Top Economics Site

Investing.com Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2017 Econintersect LLC - all rights reserved