! s 3AUK 6ALLEY -EDIA
WWW SAUKVALLEY COM
4UESDAY -AY
TARGET
CEO out in wake of big security breach CFO steps in as interim president NEW YORK (AP) – Target’s CEO has become the first boss of a major corporation to lose his job over a breach of customer data, showing how responsibility for computer security now reaches right to the top. Gregg Steinhafel, who was also president and chairman, stepped down nearly 5 months after Target disclosed a huge pre-Christmas breach in which hackers stole millions of customers’ credit- and debit-card records. The theft badly damaged the chain’s reputation and profits. Steinhafel, a 35-year veteran of the company and chief executive since 2008, also resigned from the board of directors, Target announced Monday. “He was the public face of the breach. The company struggled to recover from it,� said Cynthia Larose, chair of the privacy and security practice at the law firm Mintz Levin. “It’s a new era for boards to take a proactive role in understanding what the risks are.� The departure of Stein-
ership at Target.� The board also said that he “held himself personally accountable.� “The last several months have tested Target in unprecedented ways,� Steinhafel wrote in a letter to the board that was made available to The Associated Press. “From the beginning, I have been committed to ensuring Target emerges from the data breach a better company, more focused than ever on delivering for our guests.� The company’s stock fell more than 3 percent Monday morning to $60.15. Chief Financial Officer John Mulligan was named interim president and CEO. Under Steinhafel’s leadership, Target won praise for its expansion into fresh groceries and its 5 percent discount for customers who use its branded debit and credit cards. In 2009, he defended the company against a proxy fight waged by hedge fund manager William Ackman, who was pushing his own candidates for the board. But Target has been criticized for reacting too slowly to the shift toward shopping on mobile devices. Target just started to let shoppers order items
AP
John J. Mulligan, Target Corporation’s chief financial officer and executive vice president, testifies before the Senate Commerce Committee about recent cyber attacks on Target retail stores and security breaches of consumers’ financial information March 26 at the Capitol in Washington. Mulligan has been appointed interim president after Target announced Monday that chairman, president and CEO Gregg Steinhafel is out nearly 5 months after the retailer disclosed the breach. hafel, 59, suggests the company wants a clean slate as it wrestles with the fallout. But the resignation leaves a leadership hole at a time when the 1,800-store chain is facing many other challenges. The company, known for its trendy but afford-
able housewares and fashions, is struggling to maintain its cachet while competing with Wal-Mart and Amazon.com. Target is also grappling with a disappointing expansion into Canada, its first foray outside the United States. Experts say the breach,
which highlighted the flaws in Target’s security system, seemed to be the final straw. The Target board said in a statement that after extensive discussions with Steinhafel, they both “have decided it is the right time for new lead-
SALES
MONEY & MARKETS
Key Walgreen revenue metric increases 7.6 percent in April DEERFIELD (AP) – Walgreen’s revenue from established drugstores topped analyst expectations and jumped 7.6 percent last month, helped by a later Easter holiday that also hurt sales growth in March. The Deerfield-based company said Monday that revenue from the front-end of its stores, or the area outside the pharmacy, rose 8.2 percent in April, in part because Easter fell on April 20 as opposed to March 31 last year. Easter tends to boost sales in the front-end of drugstores, which sell candy and other items for the holiday. Walgreen Co. competitor Rite Aid Corp. said last week it saw a similar ben-
efit in April. Both drugstore chains also reported drops in front-end sales during March. Walgreen and Rite Aid are the nation’s largest and third-largest drugstore chains, respectively, based on the number of stores. The second-largest, CVS Caremark Corp., doesn’t report monthly sales publicly. Revenue from stores open at least a year is considered a key indicator of a retailer’s financial health. It strips away the volatility of recently opened or closed stores. Walgreen also said Monday that pharmacy revenue from its established stores climbed 7.3 percent last month compared to April 2013. Analysts expected, on
average, a nearly 6.3 percent rise in overall revenue from established stores and about 6.6 percent and 6 percent increases from the front-end and pharmacy, respectively, according to Thomson Reuters. Walgreen ran 8,231 drugstores at the end of April, or 145 more than it did at the same time last year. Counting the new stores, total April sales climbed nearly 9 percent to $6.49 billion. Shares of Walgreen edged up 59 cents to $69.45 on Monday morning, while the Standard & Poor’s 500 index fell slightly. The company’s stock had already climbed about 20 percent so far this year, as of Friday.
Portillo’s hot dog chain brand may be for sale OAK BROOK – The Portillo Restaurant Group, owner of the popular fast food chain “Portillo’s,� announced April 30 that the company is exploring financial alternatives, including the sale of its fast casual division. Headquarted in Oak Brook, Portillo’s has restau-
The following stock quotations, as of 5 p.m., are provided as a community service by Chad Weigle of Edward Jones, Dixon and Raymond James and Associates, Sterling. Abbott.................................38.84 Alcoa..................................13.53 AltriaCorp...........................39.90 Autonation.........................53.60 American Express..............87.37 Arris-Group........................26.35 Apple................................524.94 ADM...................................43.42 AT&T..................................35.76 Bank of America.................15.08 Boeing...............................131.95 BorgWarner........................60.51 BP.......................................50.82 Casey’s................................67.84 Caterpillar........................104.53 CenturyLink.......................34.84 Chevron............................125.36 Cisco...................................22.96 Citigroup............................47.18 CNW...................................43.79 CocaCola............................40.71
ConAgra..............................30.34 Dean...................................15.50 Deere & Co.........................92.68 Disney.................................81.22 Donaldson.........................42.08 DuPont...............................67.39 Exxon...............................102.91 Ford....................................15.74 Exelon.................................36.25 GE.......................................26.58 FifthThird...........................20.59 HawaiianElectric...............23.34 Hewlett Packard................32.50 HomeDepot.......................78.69 Intel Corp...........................26.17 IBM...................................191.30 IntlPaper............................45.87 JCPenney..............................8.51 JohnsonControls...............45.04 Johnson&Johnson.............99.99 JPMorgan Chase................54.20 Kraft...................................56.26 Kroger.................................46.45 Leggett&Platt.....................32.67 Manpower..........................81.51 McDonald’s......................101.14 Merck&Co..........................58.63
Microsoft............................39.43 3M....................................140.59 Monsanto.........................114.85 Newell.................................28.78 AGL.....................................53.50 Nike....................................73.28 Parker-Han.......................124.37 Pfizer...................................29.98 Pepsico...............................85.90 Procter&Gamble................81.70 RaymondJames.................49.77 Republic.............................34.96 Sears Hldg..........................42.67 SensientTech.....................54.02 Sprint....................................8.76 Staples................................12.55 TheTravelers......................90.65 UnitedContinental............40.53 UnitedTech......................116.81 USBancorp.........................40.43 USSteel...............................25.71 Verizon...............................47.38 Walgreen............................69.85 WalMartStores...................78.65 WalMartMexico.................24.81 WasteMgt...........................44.11 Wendy’s................................8.50
Commodities The following quotations are provided as a community service by Sterling Futures: Corn: May 5.031â „4; July 5.08; Dec. 5.00 Soybeans: May 14.72; July 14.631â „4; Nov. 12.271â „2 Soybean oil: May 40.98; July 41.17
Soybean meal: May Lean hogs: June 122.35; 489.10; July 478.70 July 121.97; Oct. 104.00 Sugar: July 17.47 Wheat: May 7.211â „4; July Cotton: July 94.75 7.29 T-Bonds: June 13525â „32 Oats: May 4.08 1â „4; July 3 Silver: April 19.59 3.51 â „4 Gold: April 1309.70 Live cattle: June 137.52; Copper: May 3.0670 Aug. 137.25; Oct. 141.47 Crude: June 99.43 Feeder cattle: May Dollar Index: June 79.52 182.65; Aug. 189.80
Let us help you
OAK BROOK 3HAW .EWS 3ERVICE
online and pick them up at the store, years later than some competitors. Analysts also say Target botched its Canadian expansion by moving too aggressively. The company opened more than 120 stores in the latest year and lost nearly $1 billion. On Dec. 19, Target disclosed a breach of 40 million credit and debit card accounts over a nearly 3-week period before Christmas. Then on Jan. 10, the company said hackers also stole personal information – including names, phone numbers, and email and mailing addresses –from as many as 70 million customers. “Ultimately, too much rained down on Gregg Steinhafel,� said Brian Sozzi, CEO and chief equities strategist at Belus Capital Advisors. “There was no way he could escape the black vortex of news.� Target reported in February that its fourth-quarter profit fell 46 percent on a revenue decline of 5.3 percent as the breach scared off customers. Target’s sales have been recovering, but it expects to feel the effects for some time. The breach has spawned dozens of legal actions that could prove costly.
rants throughout the Chicago area as well as California, Arizona and Indiana. “We’ve enjoyed significant growth over the past 50 years, experiencing same-store sales increases over the last 10 years in the Chicagoland area, even when the economy as a whole suffered,� The Portillo Restaurant Group
CEO, President and Founder Richard Portillo said in a news release. The sales from the restaurants exceeded $300 million in 2013 and opened two more “successful� units in Arizona, according to the release. “It is an exciting opportunity for the company’s history,� Portillo said.
2008 Pontiac
Torrent #D967A
WWW.PETEHARKNESS. S.COM
AWD
“SHED THE CLUTTER!� DISCOUNTED!!!
Chicken Coop
SAVE $$$$
12X32 GARAGE WITH DOUBLE ROLL-UP DOORS
Why pay for mini storage when you can have your own mini storage in your back yard? Lake Cabin
Garden Shed
Storage Garage
Play House
Storage Shed
$4,466 + tax 8X12 BARN
$1,186 + tax
12x32 Garage 10x16 Metal Utility Shed 10x20 Metal Side Lofted Barn 9x12 Budget Series Shed 8x12 Utility Shed 12x32 Lofted Garage 10x16 Lofted Barn 8x12 Lofted Barn 10x16 Cottage Shed
First Come, First Served Many Barns to Choose From! Custom barns available too!
ŔŞżĹ&#x;Ĺ˜Ĺ‘Ĺž R ĹĄĹ•Ĺ?Ĺ— Ĺ?Ĺ— Ĺ›Ĺ?Ĺ“Ĺ‘ R Ĺ‘Ĺ‘Ĺœ R Ĺ?Ĺ™ Ĺ?Ĺ™
815-625-2290
Rt. 40 N, Sterling
** With approved credit. Payment does not includetax, title & lisence. $2,000 down or trade in value. 3.9% APR x 66 mos . *Plus tax, title, license. See dealer for details. Photos for illustration only. Dealer not liable for errors.
FREE DELIVERY!
Monthly Payments Available. No Credit Check Needed!
Pete’s Price
12,381 $ 198/mo $
Dixon
*
**
Barn Yard
On the corner of Boyd and Everett & 610 River Lane, Dixon 815.285.3481 Located at