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Yes. We were pushed. We were told we were self sustaining now, and we had to make money to make payroll. We were also told that we had prospective buyers, then, not yet, and "Don't Worry".
You all have to understand, that your DMs are being fed the same lines you are. They can only tell you what they have been told. When we "went dark", they got a conference call, at night, telling them that they no longer had a job. A lot of them had believed everything they were told, so they were totally unprepared for that. But a lot of them stepped up and started calling their Studio Managers to let them know. Some just had to stop because their hearts were broken too. In less than a year I'd had 4 different DMs, so by the time mine got through calling her regulars, she just let the grapevine finish it for her. I found out by a text from a friend who used to work for the company.
They were already in the process of closing 300 studios, who were all being packed up and readied to be shipped out on Friday, when Wednesday night they voted to close effective immediately. They put the pop up on the SAS computer Wednesday night, before some studios had even finished closing, so imagine that, you're still working when you find out.
Their benchmark last year was Easter. They wanted the Easter sales, and 3 days later we went dark.
I think they're waiting until Easter is over to see how you do financially. If you do well, maybe they'll stay in business. But if not, it seems Easter is their chosen "bench mark".
My best advice is to not wait for EI, because it isn't as much as you make now, it only lasts for a few weeks, which are weeks that you could already be making progress in your new job towards vacation time, benefits, pay raises, etc. Oh yeah, and the best thing ever, your sanity and your family.
Remember, we've been there, done that, got the T-shirt, and moved on.
In the States, the hours were cut the week after Christmas, in Jan. another round of DMs were let go. We were pushed to go on and get through Easter, then 3 days after Easter they shut us down. So, Easter is the 20th.........
You should all, just start looking for something else, now. If you have PTO time, use it, because when/if they close you won't be paid for it, make sure if you have any medical issues you take care of them now, because here, the insurance was supposed to be good till a certain date and some found it wasn't. You won't be getting severance pay, because if they are cutting hours, you can bet it's because they are close to not being able to make payroll, so if they can barely make payroll, there is nothing left for severance.
Recycling information on outreach seems like a good idea, however, you're just fooling yourself. The point of outreach is to bring in new customers with money so they can stay open, recycle old non producing information and you're guaranteeing that you'll close. No sales=no job=no company.
Sugar, I've already been down this road with this company. I feel their pain, since I went through it last year. I'm reading the same old same old that we posted last year. If you want to know what is going to happen, go check out downsideup's posts in October 2012, then go check what actually happened. He was pretty spot on.
Staying out of trouble with the law? Really, this company was being sued in 2012 for lying to shareholders about their financials. The US side is trying to sue because of their violation of the WARN Act. Generate some sales? With what? Old equipment? old backgrounds? indefinite delivery dates? Customers that walk in without a dime to their name because their coupon said "free, and no purchase required"?
You want to invest in a company? Find one that is winning, one that treats their employees right, who strives to do the right thing and because of that is still being successful. I did, I invested myself, and I'm being paid not only with a paycheck, but with the tools I need to do my job, a labor budget that means I can do my job effectively, new products weekly, supplies that I don't have to purchase out of pocket, oh and the most important, RESPECT for me, and my team. Find that one, and invest in it, and you could win too, long term, instead of trying to make a quick penny off of the dead carcass of this company.
Just as an fyi, they had over 135 million in debt with only 10 million in assets in the US side when they closed. The true assets of this company, the true money makers, are the managers and associates.
The true money bleeders, are in charge. Who in their right mind, who truly wants to make money, would keep on a team that drove their own business into failure, and then allow them to do the same thing again, and from what it looks like at this point, again.
Any company who truly wants to succeed, will learn and grow from it's mistakes, not repeat them over and over, like this one.
Yes. You can read all about what was happening in the states this time last year by scrolling through the previous posts, starting right after Christmas '12 till we closed.
We were told we have a buyer, then we had a buyer, then be patient we're still trying to get a buyer. Then our delivery schedules became vague, and we were told to tell the customer "We'll call you, when your pictures come in."
Please make sure that your customers all leave with a receipt, and the purchased cd, no matter how busy you are. I don't care if you have to go out and buy receipt paper out of your own pocket, and if you still have the option of an email receipt, do it.
They voted the night of April 3rd, 2013 to close and then put a pop up on the computers so we could see it the next day. The RD/DMs were called, and some of those stepped up on their own time and contacted their teams, and some did not. Those teams who were not contacted found a pop up on their browser, informing them not to clock in they were closed. Your letter will not protect you, and though I'm no lawyer, I think the wording is designed to protect them not you.
If it's like the US side. Another round of "realignment". More stores closed more days, more pressure from your DM to bring in the money. Then it will be give your customers a vague due date. "We will call you when they come in." You may even get, "Get someone hired and trained" even though you aren't open enough to have help. The big push will be Easter with new free stuff, and no new props or backgrounds, you might already have some Easter and Valentine's Day graphics, and that's about it. With us Easter was Sunday and we were out of business Wednesday night.
They are gone the bankruptcy hearing was last month.
You are in a receivership, the people handling your paycheck is who is in charge of you now. Brace yourself, and get your resume ready. CPI had more debt than we knew, it's listed at 135 million dollars with only 10 million in assets. Canada is listed in the bankruptcy. At this point in time, I don't know that I would trust that your orders will come in. Ours will never come in. Push the cd.
New sec filing on Edgars online.
CPI states that it can't get out the earnings results for the end of year. They don't have the staff. Excuse me, they knew the numbers where bad enough to slash hours after Christmas, and they absolutely knew the numbers when they decided to close down US operations, so who do they think they're fooling?
A few tips about Unemployment.
For unemployment purposes, the work week is Sunday-Saturday. CPIs was Wed-Tues. So if you signed up right after the closure on 4/4 or 4/5, then you would have filed for your 1st week on 4/7. You would have reported only the hours you worked from 3/31-4/6,(even though you were paid on 4/5) I worked 2 days, so I reported the hours worked for those 2 days and the dollar amount of the wages I earned. My benefit check was reduced by the amount over 25% of my benefit amount (-$37). I've gotten 2 weeks already, because in my state, the company ceasing operations in my state or filing BK, waives the waiting week.
Cashing in your 401k is a long drawn out process, that can take months, so don't count on it for income immediately. (Know this for fact, because we went through this when my hubby's company closed his factory.) That being said, when you actually get your 401k settlement, you will not receive a Ue check for the actual week you received the payout. That's the only week that you won't get a UE check.
When reporting wages earned, make darn sure you report your GROSS wages, because you could receive an overpayment and have to pay it back, and it's always at a time you can't afford to not have that money. Deliberately not reporting correct amounts could make you lose benefits so don't do it.
Hope it helps.
Check with your state. I didn't have to serve a waiting week because CPI closed operations in my state. Doesn't hurt to try. I have just got my second "check" (my state does a pay card).
Here it is from CNW Canada News Wire
April 16, 2013 11:46 AM
- Financial
- Bankruptcy
Save
CPI Corp., CPI Portrait Studios of Canada Corp. and CPI Canadian Images continue to operate in the context of receivership proceedings under the Bankruptcy and Insolvency Act
TORONTO, April 16, 2013 /CNW/ - CPI Corp., CPI Portrait Studios of Canada Corp. and CPI Canadian Images (collectively, the "Companies"), operator of 358 portrait studios across Canada, announced today that an order was issued on April 15, 2013 by the Ontario Superior Court of Justice, placing it in receivership. Duff & Phelps Canada Restructuring Inc. was appointed as the Receiver.
The Companies' parent, US based CPI Corp. discontinued operations on April 4, 2013, due to significant financial challenges and ongoing operating losses. The Companies have a long history of profitability which makes it an attractive acquisition target. The principal purpose of the receivership proceedings is to create a stabilized environment in order to carry out a process to solicit purchasers for the Companies' business and assets in order to preserve the going-concern value of the Companies.
On April 30, 2013, the Receiver intends to bring a motion to deal with matters relating to the pension plan of CPI Corp. and other ancillary relief.
During the receivership proceedings, the Companies' operations will continue in the normal course. The Receiver is optimistic that the stability required by the receivership proceedings will provide the opportunity to advance and efficiently execute a sale process with the objective of completing a going-concern transaction in the best interests of the Companies' employees, customers and other stakeholders.
General information about the receivership proceedings of the Companies can be found at the Receiver`s website at http://www.duffandphelps.com/services/restructuring/Pages/RestructuringCases.aspx
Forward-Looking Information
This news release includes certain forward-looking information that is based upon current expectations, which involve, among other things, risks and uncertainties associated with the Companies' business and the receivership process. Forward-looking information in this news release includes, among others, statements with respect to the timing and continuance of the receivership proceedings, the sale process and potential opportunities for the Companies' ongoing operations. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking information, including those identified by the expressions "anticipate", "believe", "plan", "estimate", "expect", "intend", "will", "may", "should", "could", and similar expressions to the extent they relate to the Companies. The forward looking information is not historical fact, but reflects the Receiver's current expectations regarding future results or events. Forward-looking information is subject to a number of risks, uncertainties and assumptions that may cause the Companies' actual results to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Companies. Factors that could cause actual results or events to differ materially from current expectations include, among other things, the Companies' revenue streams being consistent with historical patterns, adjusted to reflect the Companies' recent changes to operate on a standalone basis; customers continue to use and pay for the Companies' services in accordance with historical results, credit and market risks, the uncertainty involved in court proceedings; uncertainties relating to the availability and costs of financing needed in the future; the ongoing operation of the Companies' business and other factors.
SOURCE: CPI Corp.
For further information:
Duff & Phelps Canada Restructuring Inc.
Scary, I'm sorry that happened to you. It's bad enough that CPI used our full names without permission, they also were/are still using names of people that don't even work for the company anymore. Which potentially puts them in the line of fire too.
I don't understand why the lawyers didn't set CPI straight about the legality of using our names. Can you imagine the lawsuit YOU could have brought against them? (If they had any money.) I've actually saved a few emails for proof.
While I have no objections to confronting our BOD, I want SMs to remember that OUR full name and location is on EVERY laser sheet that has been printed for our customers, and that same information is on past emails to our customer base. Why is this important? If our BOD can be googled we can too. Got a land line? I do. Are you listed in the phone book with your address? I am. Got a family? I do. Are there crazies out there? YES!
So Gambino, can you see where I was coming from now?
STLToday, it's the news paper in St. Louis where corporate head quarters are/were. It's been the one running the stories as they get them.
Yes, I've gotten mine, and have gotten my 1st check. Call your unemployment office, and explain to them, and even give them the STLtoday site, as well as the SEC filings site.
Also check your unemployment web page, because, you may not have to serve a waiting week since, our company, closed it's doors and has/is filing chapter 7.
Don't wait for them, call them, and set things straight. You need that money.
Based on our experience, sell the $80 CD as often as you can. Actual cost of that item is minimal and the bulk is profit. In addition, if they do you like us, your customers will already have their product. Next thing, make sure your customers hold onto their receipts, both the credit card and the studio one. Staple them together, and STRESS the importance of keeping them, (don't scare them but make sure they have what they need to get a refund).
I absolutely love specialty products and CDs, and I sold a lot of them, now my customers from Feb and March may not get the specialty products. So, if I could do it over, I would have stressed the 130 pkg. PRS be damned. I would also have burned the CD with purchased collages and specialty products on them.
The other thing I would do (and did) is take out the memory books, and the 5x7 cards, and not offer the 3rd party products. Substitute the 4x8 cards in them and call them mini collages,(just make sure to use the multi opening ones and personalize them with names and the year.) This way everything comes in together,(except the specialties).
Finally, protect yourself, get your resume ready, check up on what options are available in your area for unemployment and emergency assistance, if needed. Make a list, and have it ready.
You want to go after the BOD of CPI, Google the sec filings for CPI, get a list of them, and their affiliations to other businesses and organizations, and bug them there to your hearts content. Do your own darn homework.
As to caring, I've already been in my former studio this week, taking care of former customers and helping WM pick up the pieces this company left, so rather than making a few calls, I've actually been doing something constructive.
Seriously? You're still at it?
Doesn't matter, my husband's company already had plants outside of the US and closed his US plant. CPI closed all US operations and only has operations outside the US. He was warned in Aug that the plant was closing in Dec. a few years ago.
The Kiddie Kandids were justified in their fears. At least we got our last paychecks. I can't imagine how they feel being sent down this road AGAIN.
Looks like CPI is not going to print the remaining orders. A local csm from a sister studio told her that WM got an email stating there weren't any more shipments coming. WM is absorbing the costs of the refunds. Way not cool CPI.
I have an idea on how to help both our customers and WM, but I need help. The WM photo lab can actually print the 8x10 sheets for the orders, they can also print the cards. We just need to know the price break down of each item included in each collection, you know how did CPI price each item in the collection to come up with the selling price. That way WM can use its photo lab, and only be out the cost of printing, and refund the cost of the specialty products, MB, DT, & 10x13s. That way our customers are getting most of what they wanted, WM isn't out so much money (they don't raise prices on everyone else), and we don't feel like thieves. My WM has my pending CICs and lasers, we can burn cds, for the lab (or show WM how). Anyone know the break down?
Because my company ceased operations in my state and or filed BK, my waiting week was waived.(I was working full time up till the end.) I was automatically registered for my state's workforce agency.
When my hubby's company closed his plant and shipped the jobs out of the country, he qualified for up 2 years of unemployment (had to apply for extensions) while he went to college (which the government paid for in full.) Just go to your local unemployment office/workforce agency. I don't know if it's the WARN Act or something else, but, tell them the company closed the US operations and left the Canadian ones open (and that they sold them to a CPI subsidiary) and ask what benefits are available to you. There should be someone there to walk you through.
If your business closed US operations and moved them out of the country, then as a displaced worker you have even more benefits available to you.
I know this for fact, because in 2008 my husbands employer did this. He was eligible for extended benefits, up to 2 years, if he chose to go to school,(paid for by the government). You would have to contact your local state workforce/unemployment in order to find out what current law provides.
Just be careful, lawyers like class action lawsuits, because, their fees come off the top.
Bonuses, are called that because the company can choose whether or not to pay them. That being said, the company has filed BK, shut all US studios, and is almost 99 million dollars in debt, so no I don't think anyone is getting bonus on the US side.
Remember the uproar over BoA paying bonuses out with bailout money?
Funny, how the mainstream media with all of it's sources, brought out 70s pictures to run with our story. How insulting.
Now a subsidiary of CPI has purchased the Canadian side? Where are the REAL investigative reporters? Don't they smell a foul odor? Now that CPI is relocating outside the US,I wonder exactly what are they hiding?
Looks like Sears wants to get the studios back in their stores, which makes sense, without paying rent and percentages to an outside source, they could be made profitable again. If CPI has abandoned the contents of the stores completely, WM could also step in and do the same, and could offer either same day prints or next day prints, again without paying rent & a percentage to an outside source or even shipping costs on most orders, profitability right back on track.
You don't have to go into the studio to tell the WM manager about the power packs, just call them and tell them. It was important enough for the studios that were supposed to pack up this week that the instructions had that warning in it. Doing this could save someone from being injured.
WARNING, contact your host store and tell them how to discharge the power packs. If you don't know its on the helpdesk, those are 2 fully charged 12 volt batteries that can hurt someone if they disassemble them incorrectly.
Unplug them, wait a couple of minutes and then press the test button to discharge them. We don't want an injury to happen. Then they can finish taking everything apart.
She's been with the company for over 6 yrs, covering 2 studios for most of that time. She was made DM last year, and she knows lots of SMs, and DMs, as well as RDs. She was let go in Jan. and has kept her ear open to her former field. She knows her stuff.
Yes, I know her, and SHE'S the one who told me I no longer had a job, not my Wed DM, or the computer on Thursday.
Here in Dorothy and ToTo land and we've made the local and national news. Finally, we're on TV. (sarcasam)
Well, we finally made the local news at 5 here. Also a former RD posted on her FB that the Missouri BBB has released a story as well.
TODAY is the last day of health coverage. Thank them for the short notice on that as well. It's on the attachments of the letter from Jim Abel. And if you think about it, Corporate DID know we would go in, why do you think that was posted on the browser and not sent to our personal emails?
Downsideup, thank you for helping us to understand what was happening, and doing a little hand holding as well. Unfortunately, your October post has come to pass.
And the other one, you too served a purpose. Far better to release our anger and frustration on an unknown, that to ever let our customers see what we were feeling.
Passionate people can love with all their hearts, but they can also spit venom a hundred yards without trying. :D
And to other DMs, RD, CEOs, or BODs, learn from this experience, your building is only as good as your foundation, treat it well, and it will serve you well, neglect it, and when it crumbles the entire building can come crashing down.
I went into my WM talked to the WM manager, he didn't know anything, but he was graceous enough to allow me to do what little I could for my customers. I got my pics to the service desk and let the wm mgr read the letter from Able, posted a thank you and good bye letter, and walked out to my car. The drive home was admittedly a wet one.
Little bitter there are we? May I point out that there are only 89 followers, and at least 2 of them are investors. So by your reasoning, 87 people posting on this site on their breaks, or in my case days off or after hours are the reason this company failed. Wow, to quote my teenage niece,"epic fail".
Before you start in on us, have you worked in a studio? No? Enough said.