WHS - Warehouse Group

[winner69]

Surprised, not surprised.

Expect they will be better operators than WHS.....

T7 joins a big stable of operations ….. including Starbucks, Burger King, Hannah Shoes & No. 1 Shoes

[Muse]

T7 joins a big stable of operations ….. including Starbucks, Burger King, Hannah Shoes & No. 1 Shoes

All turnarounds and carve outs. Starbucks - wasnt that a carve out from RBD. BK was a massive failure for its previous owner. TP7 a carve out from WHS. Hannah shoes ex Hellaby Holdings.

[winner69]

WHS apparently paid $79.3m for T7 and another $50m on additional companies to bolster the business.

Already written of the $40m goodwill involved

Be interesting what makes up the additional $55m/$65m write off ….probably big stock adjustments along with employee leave etc provisions ….and maybe even some rent subsidies

What a disaster. …but never mind Nick says the net cash impact (post tax) of the sale will be close to zero….so no worries

Should frame the $1 coin and frame it and hang in Board Room as a reminder of past follies

[Sideshow Bob]

Will be interesting to see if Tahua "got a bargain.....".

Surprisingly trading down only 3c/2.4% so far today.

Although trading at the lowest level this century already.....

[moose]

Will be interesting to see if Tahua "got a bargain.....".

Surprisingly trading down only 3c/2.4% so far today.

Although trading at the lowest level this century already.....

WHS down about 25% in past 2 weeks or so despite no news/updates......Obviously this deal didn't happen overnight. Likely plenty of insider trading from WHS senior management and their friends & family.
But this is the NZX so don't expect anything from the regulators.

[Balance]

Gross mismanagement of T7 by the Warehouse and shows that the directors & management have no transferable skills in running businesses outside of the declining fortunes of WHS ‘classic’.

[iceman]

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[samjaynz]

I worked for Torpedo 7 (well part of the business that had actually been acquired by T7 before itself being acquired by The Warehouse Group) about a decade ago. I technically had a 'management' position - at least based on my job title - working in a back office and met all the group managers, used to be privy to the sales reports that would be distributed each morning, sat in on management meetings and all that jazz.

Honestly back then it felt like quite a fun, dynamic place to work (particularly with the more "swashbuckling" sub-brands e.g. 1 Day and Shotgun Supplements) and I'm proud of the work my little team did, but some internal changes among more senior management made it clear the writing was on the wall and I looked for new pastures. I

I got out just before there was a big restructure, around the time that Grayston came on board. I recall being in a whole bunch of trouble with my manager for telling him that I thought Grayston looked like an incompetent - I wonder if my then-boss would be willing to eat his words all these years later?

I occasionally shop at T7 but am always disappointed with the service, the selection and the seeming incapability of their systems to actually determine what stock is where.

[winner69]

I worked for Torpedo 7 (well part of the business that had actually been acquired by T7 before itself being acquired by The Warehouse Group) about a decade ago. I technically had a 'management' position - at least based on my job title - working in a back office and met all the group managers, used to be privy to the sales reports that would be distributed each morning, sat in on management meetings and all that jazz.

Honestly back then it felt like quite a fun, dynamic place to work (particularly with the more "swashbuckling" sub-brands e.g. 1 Day and Shotgun Supplements) and I'm proud of the work my little team did, but some internal changes among more senior management made it clear the writing was on the wall and I looked for new pastures. I

I got out just before there was a big restructure, around the time that Grayston came on board. I recall being in a whole bunch of trouble with my manager for telling him that I thought Grayston looked like an incompetent - I wonder if my then-boss would be willing to eat his words all these years later?

I occasionally shop at T7 but am always disappointed with the service, the selection and the seeming incapability of their systems to actually determine what stock is where.

Sad story in a lot of ways there samjay

One hopes that being operated by guys who have some customer empathy T7 might be great again

I was in a meeting with Nick shortly after he turned up at WHS and had same thoughts as you …..think I said to myself heck what was the Board thinking taking him on.

[Sideshow Bob]

I occasionally shop at T7 but am always disappointed with the service, the selection and the seeming incapability of their systems to actually determine what stock is where.

That is completely my experience too. Hit & miss for service instore, but online & call centre is rubbish. Buy things and then out of stock - latest one was using a voucher to buy and refunded but now can only spend online.

Thanks for sharing Samjay - very interesting and no doubt you've moved on to greener pastures....