Briefs: A bit­ter pill for Valeant; tak­ing Black Fri­day off pays off for REI

Bloomberg Businessweek (Asia) - - CONTENTS - By Kyle Stock

Valeant Phar­ma­ceu­ti­cals In­ter­na­tional, un­der in­ves­ti­ga­tion by fed­eral pros­e­cu­tors over its ac­count­ing, pric­ing, and dis­tri­bu­tion prac­tices, re­ported a dis­mal fourth quar­ter and slashed its profit and rev­enue fore­casts for 2016. The Cana­dian drug­maker’s price hikes have alien­ated pa­tients and in­sur­ers, and an ac­qui­si­tion binge has sad­dled the com­pany with $30 bil­lion in long-term debt. Avon Prod­ucts will trim 2,500 jobs and move its head­quar­ters from New York to the U.K. in a bid to re­ju­ve­nate its busi­ness. The an­nounced changes came two weeks af­ter the di­rect­sales cos­met­ics com­pany sold its North Amer­i­can op­er­a­tions to pri­vate equity firm Cer­berus Cap­i­tal Man­age­ment. Avon’s sales have de­clined for four con­sec­u­tive years. REI’s de­ci­sion to shut­ter stores on Black Fri­day seems to have paid off. Rid­ing a wave of pos­i­tive pub­lic­ity, the out­door-gear re­tailer re­ported $2.4 bil­lion in 2015 sales, a 9.3 per­cent in­crease from the year be­fore. Sales at es­tab­lished REI stores ticked up 7 per­cent. Chipo­tle Mex­i­can Grill warned that it will book its first quar­terly loss as a pub­lic com­pany in late April, as a food-safety cri­sis con­tin­ues to dam­age its fi­nan­cial health. Last month sales at ex­ist­ing restau­rants plunged 26 per­cent, more than an­an­a­lysts had ex­pected. Gold­man n Sachs agreed to buy Hon­est Dol­lar, a re­tire­ment-sav­ings startup in Austin,n, for an undis­closed sum. For $8 to $10 a month, the year-old com­pany con­nects cts small-busi­ness em­ploy­ees to com­pa­nies hawk­ing low-cost IRAs.

The start­ing price of an Ap­ple car, as fore­cast by Piper Jaf­fray an­a­lyst Gene Mun­ster. He pre­dicts the tech com­pany will start sell­ing an elec­tric ve­hi­cle in 2021.

Be­foreAf­ter An app for shar­ing be­fore-and-af­ter plas­tic surgery pho­tos raised $50 mil­lion from Ten­centHold­ings. Made by SoY­oung Tech­nol­ogy, it’s been down­loaded 10 mil­lion times.

“WWe’re a real com­pany,co solv­ingso a re­alre prob­lem, cre­at­ingcr real rev­enue.”rev—— Jamie SiSimi­noff,i CEO, Ring, a maker of smart door­bells, af­ter se­cur­ing $61 mil­lion in ven­ture cap­i­tal

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