Prognosticators eye 10 U.S. companies that will vanish in 2013
Remember North Central Airlines? Or how about Northwest Orient Airlines? There once was a Norwest Bank. But now there are only mega banks and mega airlines.
There are observers of the business world that are predicting that 10 businesses that are operating today will be in the graveyard of corporate mergers, bankruptcies and failed ideas by next year.
Not surprising is American Airlines. US Airways has an eye on buying the troubled air carrier. If that happens, American will go the way of Northwest, North Central, Western, TWA and a fleet of other also flew airlines.
Ladies you will want to sit down for this one — Talbots is slated to crash and burn. “Talbots management said it planned to close 110 stores. The company also said it would try to find a new CEO. Talbots made only $1 million last quarter on $275 million in revenue,” according to 24/7Wall St. Wire.
Number three on the hit list for 2013 is “Al Gore’s Current TV. It was on life support even before it fired its only bankable star, Keith Olbermann, in March following a set of battles with the host over his perks.”
Got a BlackBerry? Research In Motion, its parent company, is slated to hit the skids after being overshadowed by Apple. Research group NPD recently reported that RIM’s U.S. market share was 44 percent in 2009 but only 10 percent last year.
Pacific Sunware, the California-style accessories company, is heading south or may be gobbled up by a larger swimwear company.
“American Suzuki Motor sold 10,695 cars and light trucks in the first five months of this year,” the Wall Street company reported . That was down 3.9 percent compared with the same period in 2011. The sales gave the manufacturer a U.S. market share of just 0.2 percent. One reason the company has trouble moving its vehicles is the poor reputation of its cars.
Perhaps one has not heard of this next one — Salon.com — a news and commentary website company. At the end of the final quarter of 2011, Salon had $149,000 in the bank against short-term liabilities that included $12.7 million in loans.
The eighth organization on the list is the Oakland Raiders. Now that Al Davis is gone, the Oakland Raiders are searching for a new home. Surprise! The team may end up in Santa Clara or back to LA.
MetroPCS, a tiny cellphone provider and a much older and larger Avon are the last two companies targeted as merger targets or just disappearing.
Why are these companies going away or being reconfigured by mergers or takeovers? Well, a big part of it has to do with a shrinking economy and a dismal outlook for each of them to stay afloat. Until the business climate changes in the United States, look for more companies to fail, be targets of acquisition companies, or file for bankruptcy.