United Online completes FTD Acquisition

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The sale of FTD is complete. Read it here.

FTD also annouced it's 4thQ numbers. Profits rose 17%.

The Downers Grove, Ill.-based company said it earned $12.6 million, or 42 cents per share, for the three month-period ended June 30. That compares with $10.7 million, or 36 cents per share, in the year-ago period.
Revenue rose 3 percent to $174.9 million from $169.8 million.

For the full fiscal year, FTD posted income of $39 million, or $1.31 per share, up from $31.9 million, or $1.08 per share, in the year-ago period.

Additionally, FTD shareholders on Monday approved a proposed merger of the floral company with internet company United Online, which provides e-mail, Internet access under the NetZero and Juno brands and other online services. Woodland Hills, Calif.-based United Online said the acquisition will provide additional revenue and help United expand into the growing floral Internet business.
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Here are the raw numbers (scroll to bottom).

FTD shares ceased to be traded on the NYSE today.
 
Got a call from FTD the other day wanting to speak to my husband, he was busy. Told the guy he was welcome to call back but he didn't need to waste our time or his...

Then yesterday got a call for a wire-in. Hubby answers, says sure dove over. For whatever reason she calls back to place order and when he enters the tel # see's it's 1-800 and politely says to the girl (he said she sounded young) sorry we don't fill for 1-800.

Here's the GOOD part.... They had been trying to get the order out since August 21st..... (it was 8/26 when they called us)

One at a time.... we really can make a dent and keep our dignity.:headbang:
 
flower lady said:
Here's the GOOD part.... They had been trying to get the order out since August 21st..... (it was 8/26 when they called us)

One at a time.... we really can make a dent and keep our dignity.:headbang:
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Do what you wish, but it won't make a dent on them, they'll just convert the buyer to a dropship item.

I don't see that as a particularly good thing.

Now if you could get that senders information somehow? That would be a GOOD thing.
 
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From FTD E-mail

Dear FTD Florists,

I am pleased to announce that FTD is officially part of the United Online family. It is an honor to be affiliated with a brand that for nearly 100 years has been synonymous with beautiful floral products and talented, quality-driven florists.

I am eager to begin working with the thousands of FTD Florists who are the passion and strength of the florist network and the cornerstone of the FTD brand. You are the heart and soul of FTD and I look forward to working with you to develop specific programs to help grow your business.

In the coming months, I look forward to spending time meeting florists throughout the U.S. and Canada and understanding what you need to be successful. I will use these meetings as a way to leverage my experience in building world class brands with the daily realities that your businesses face.

Thank you for the opportunity to be a part of the FTD family. It is truly an honor and I could not be more excited about our future together.

Sincerely,

Mark R. Goldston
Chairman, President and Chief Executive Officer
 
And I quote...

Quoting Mark Goldston: "No, I just spend $800 million everyday for my health."

Question from SAF Floral Management: Are you in it for the long haul?

Taken out of context of course, but I don't think someone in his position, in this fragile industry should be flippant in the first place.

Interesting read in this months Floral Management... I don't think I like this guy! In fact I'm pretty sure I don't.

Other quotes from Mr Goldston:

Regarding the leveraging power of United Onlines database: We send out 7-8 BILLION emails a year, and can signature everyone with 'purchase your flowers at FTD.com'."

Other comments include items like, florists do not brand with a wire service enough...and... awe nevermind... you can read the dribble yourself...
 
From what I read it seems that the big revenue gains were made on the other side of the pond in the UK. Sales over there were up 24%.
And they made extra money due to the exchange.

I think they put a nice spin on their operations, but truth be told they are losing revenue over here due to florists leaving.

I can't tell but didn't FTD come out with a new selection guide? If so did they bill it in the 4th qtr?
 
I am going to hold my thoughts on Mr Goldston for a while . He seems to understand that drop ship is a commodity business and the florist business is more up scale quality business. Lets see if he developes a plan for growing the traditional business.
 
Thank you - good luck to you too.
 
BOSS said:
Quoting Mark Goldston: "No, I just spend $800 million everyday for my health."

Question from SAF Floral Management: Are you in it for the long haul?

Taken out of context of course, but I don't think someone in his position, in this fragile industry should be flippant in the first place.

Interesting read in this months Floral Management... I don't think I like this guy! In fact I'm pretty sure I don't.

Other quotes from Mr Goldston:

Regarding the leveraging power of United Onlines database: We send out 7-8 BILLION emails a year, and can signature everyone with 'purchase your flowers at FTD.com'."

Other comments include items like, florists do not brand with a wire service enough...and... awe nevermind... you can read the dribble yourself...
Click to expand...


I read the article several times over the last few days. I was struck by the overall tone of the article. My impression was that the interview was condescending and arrogant, and it didn't get bettter as I read it again and again.

This is an article in a trade publication, and it really talked down to the floral industry, and seemed to look down at florists. Shocking, really, that you would speak so off the cuff to your partners and peer groups.

FTD/ United online is not the only game in town, so not only was he calling out florists, he was taking a shot at competiors as well, considering the article was this particular magazine.

Note the complete difference in tone from the e-mail/ announcement to in network florists vs. the tone of his interview. To me it is a jarring difference.

He apparently believes he is all that and then some(read his repeated comments on HIS success not his COMPANY'S), but he can't do everything he is proclaiming without the help of the florists he seems to have so very little true regard for.

Boss is right, the comments were flippant at best, and rather disrepectful in my view.

Read the article. Biggest florist to smallest florist, regardless of any affliation with FTD, if these comments were said personally to you would you not step back and say "who do you think you're talking to?" or worse?

Except they were just said personally to all of us inside the FTD network and out, in our own trade magazine.

Excuse me, Mr. Goldston, but who do you think you're talking to?
 
ivygreen said:
Excuse me, Mr. Goldston, but who do you think you're talking to?
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He's the CEO of a corporation that over the last 10 years has been the recipient on a steady and generous revenue stream compliments of the florists.

He's the the CEO of a corporation that has been able to dupe florists into believing that belonging to the corporation that has been marketing to floral consumers and then re-directing their purchases to dropped shipped non-floral items is OK.

He is the CEO of a corporation that understands that florist @@@@@, but do nothing about the situation. He understands that florists think they can play the system to their advantage, but the reality is that his corporation is bleeding them dry.

He is the CEO of a corporation who over the last 10 years has sold technology to florists at inflated prices and then made that technology obsolete in order to force those florists to again purchase at inflated prices.

He was willing to pay $800 million dollars for a corporation that originally sold for $200 million dollars because he has a revenue stream so solid that a profit is assured.

Goldie, wouldn't you be cocky if you were in his shoes?
 
Tonight is the "relaunching of the black and gold brand".

The web site will be changing to their new branded look.
 
goldfish said:
As long as we (FTD member) are concerned, the new CEO's public demeanor doesn't matter. If he is as competent as he apparently beleives he is, then we have no problem.
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Remember how competent Norton thought he was? Sorry, but I see some BIG problems from reading Goldstons interviews....
 
Just got the Floral Management issue in today's mail....

IMO it was a good interview and some very keen observations about the state of the biz. He's self-assured (but you better well darn be if you're spending $800M).

As far as "Realize the orders you get from FTD and other companies on the Internet are going to be the major part of your business from now on," I say 'Run, Florist, Run'.

He talked about raising the game and featuring more artistry in design. Interesting. Sounds like he wants to completely revise the FTD florist-designed selections and make them more premium. In this economy, I'm not sure that's a good path for the brand - unless you want to get more consumers to choose low-priced flowers in a box. ;) j/k (I would certainly welcome FTD stepping up the look and feel of their selections.)

As always, he will be an intereting industry leader to watch. Let's see if his vision of the company comes to fruition.
 
BOSS said:
Remember how competent Norton thought he was? ....
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Well, I am too new to know anything about this "Norton" person. :)

Anyway, by reading his interviews, I got an impression that this new CEO has no intention of playing a Mr nice-guy in front of FTD members. Basically he is telling florists to stop whining.

That, I think, is ultimately a good thing to hear.

BOSS said:
Sorry, but I see some BIG problems from reading Goldstons interviews....
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Care to explain?

Being a pragmatist myself, I actually liked almost everything he said, including his opinions on 80/20 split, Drop-ship models. I'm guessing that's where your "BIG problems" are, since you are very idealistic. :)

Anyway, I liked when he said the train has already left, reagrding drop-shipping. I feel the same way, too. Rather than complaining about OG's, Drop-shippers, etc, I would rather want to find a way to take adavantage of them.
 
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I Still believe that we should have a voice, we need representation in the companies that we serve so diligently remember the Revolutionary War Taxation without representation we need a Boston Tea Party . The 80/20 split, is it still 80/20 after you factor in cost of membership, fto transmission, mercury direct, web site fee, floral selection guide monthly fee, Q/A FTD University, penaltys for rejecting orders, the cost of having the containers (that can only be purchased from FTD) sitting on the shelves. Lets not forget the big old environmentally incorrect directory, what a waste of paper and money. An 80/20 split would be wonderful.
I am fed up with the W/S and O/G's doing so well and most of us are not, would someone please speak up if I am going overboard.
------------------
Anyone remember this song by the Beatles

You say you want a revolution
Well, you know
We all want to change the world
You tell me that it's evolution
Well, you know
We all want to change the world
But when you talk about destruction
Don't you know that you can count me out
Don't you know it's gonna be all right
all right, all right

You say you got a real solution
Well, you know
We'd all love to see the plan
You ask me for a contribution
Well, you know
We're doing what we can
But when you want money for people with minds that hate
All I can tell is brother you have to wait
Don't you know it's gonna be all right
all right, all right
Ah ah, ah, ah, ah, ah...

You say you'll change the constitution
Well, you know
We all want to change your head
You tell me it's the institution
Well, you know
You better free you mind instead
But if you go carrying pictures of chairman Mao
You ain't going to make it with anyone anyhow
Don't you know it's gonna be all right


P Bird
 
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