My order killed Webvan!
- Thread starter Hgabriel
- Start date
Call your credit card company RIGHT NOW.
07/09 10:09
Webvan Halts Operations, Plans Chapter 11 Bankruptcy (Update3)
By Bob Kuzbyt
Foster City, California, July 9 (Bloomberg) -- Webvan Group Inc., which had hoped to challenge traditional grocery stories by selling online, ceased operations and said it plans to file for bankruptcy protection from creditors and liquidate its assets.
The company, whose shares lost more than 99 percent of their value in the past year, said in a statement that about 2,000 workers have been fired.
``The clock has run out on us,'' said Webvan Chief Executive Robert Swan in a statement. ``We have made the difficult decision to end all operations immediately.''
Webvan, from the beginning, was regarded by analysts as among the riskiest of Internet ventures. Executives touted it as the next FedEx Corp., promising to transform the retailing of groceries the way FedEx's overnight service changed the package delivery business.
Today, the Foster, City, California-based company said it has stopped all operations, including the delivery of existing orders and its Web site will no longer accept new orders in any market.
Webvan also said it abandoned plans for a 25 to 1 reverse stock split that was recently approved by its stockholders. The company said it expects its common stock will be delisted from the Nasdaq National Market.
Webvan shares, which traded at $9.31 a year ago, closed Friday at 6 cents. Trading was halted today.
Webvan had been struggling to stay in business as it faced high costs and competition from local grocers' delivery services. It previously scaled back plans to expand nationally, closing operations in Atlanta and Dallas and had eliminated 400 jobs and raised prices.
It also operated in the Chicago, Los Angeles, Orange County, California; Portland, Oregon; San Diego, San Francisco and Seattle areas.
©2001 Bloomberg L.P. All rights reserved. Terms of Service, Privacy Policy and Trademarks.
Link
07/09 10:09
Webvan Halts Operations, Plans Chapter 11 Bankruptcy (Update3)
By Bob Kuzbyt
Foster City, California, July 9 (Bloomberg) -- Webvan Group Inc., which had hoped to challenge traditional grocery stories by selling online, ceased operations and said it plans to file for bankruptcy protection from creditors and liquidate its assets.
The company, whose shares lost more than 99 percent of their value in the past year, said in a statement that about 2,000 workers have been fired.
``The clock has run out on us,'' said Webvan Chief Executive Robert Swan in a statement. ``We have made the difficult decision to end all operations immediately.''
Webvan, from the beginning, was regarded by analysts as among the riskiest of Internet ventures. Executives touted it as the next FedEx Corp., promising to transform the retailing of groceries the way FedEx's overnight service changed the package delivery business.
Today, the Foster, City, California-based company said it has stopped all operations, including the delivery of existing orders and its Web site will no longer accept new orders in any market.
Webvan also said it abandoned plans for a 25 to 1 reverse stock split that was recently approved by its stockholders. The company said it expects its common stock will be delisted from the Nasdaq National Market.
Webvan shares, which traded at $9.31 a year ago, closed Friday at 6 cents. Trading was halted today.
Webvan had been struggling to stay in business as it faced high costs and competition from local grocers' delivery services. It previously scaled back plans to expand nationally, closing operations in Atlanta and Dallas and had eliminated 400 jobs and raised prices.
It also operated in the Chicago, Los Angeles, Orange County, California; Portland, Oregon; San Diego, San Francisco and Seattle areas.
©2001 Bloomberg L.P. All rights reserved. Terms of Service, Privacy Policy and Trademarks.
Link
From Dot Com Doom's Ben Silverman this morning:
Foster City, CA-based online grocery delivery service Webvan is expected to announce that it has ceased operations and will file for bankruptcy, according to published reports. Webvan stock hit an all-time low of 6 cents per share on Friday, just a week after it announced a last ditch effort to boost its sagging stock price. An official announcement is expected early Monday.
The company's troubles have been brewing for some time and it has recently been selling off assets, exiting markets and shedding workers in an effort to stay afloat. According to published reports, KTVU-Channel 2 Television in San Francisco reported over the weekend that employees were cleaning out their possessions and receiving severance checks.
Webvan's corporate and consumer websites were down as of 2:45 a.m. EDT on Monday. Two weeks ago the company announced it would attempt a 1-for-25 stock split.
Foster City, CA-based online grocery delivery service Webvan is expected to announce that it has ceased operations and will file for bankruptcy, according to published reports. Webvan stock hit an all-time low of 6 cents per share on Friday, just a week after it announced a last ditch effort to boost its sagging stock price. An official announcement is expected early Monday.
The company's troubles have been brewing for some time and it has recently been selling off assets, exiting markets and shedding workers in an effort to stay afloat. According to published reports, KTVU-Channel 2 Television in San Francisco reported over the weekend that employees were cleaning out their possessions and receiving severance checks.
Webvan's corporate and consumer websites were down as of 2:45 a.m. EDT on Monday. Two weeks ago the company announced it would attempt a 1-for-25 stock split.
Yep. This and Kozmo. I really liked both of those companies. Too bad. If anyone's looking for "four miles of conveyor belts" or maybe a few delivery trucks, or maybe a new beetle with a WebVan logo, they're liquidating all their stuff here in Jawja(GA). Heh. I might like some conveyor belt. 
Ugh, that isn't good news. I'll have to confirm to make sure they fulfill my order.
EDIT: Oh well. Their 800 number says that all scheduled deliveries have been cancelled and that charges will me assessed to my credit card.
EDIT: Oh well. Their 800 number says that all scheduled deliveries have been cancelled and that charges will me assessed to my credit card.
RossMAN
Grand Nagus
- Feb 24, 2000
- 79,096
- 461
- 136
konichiwa - I miss Kozmo I remember when they first opened there was a coupon that gave you a free DVD rental plus free ice cream and they always delivered within 19 minutes to my house. It was bitchin hot last night and I was wishing Kozmo was still in business so I could rent "Mystery Alaska" on DVD and a pint of Ben & Jerry's with some soft drink and candy.
The Stigenator
Lifer
- Oct 9, 1999
- 15,216
- 3
- 81
I too miss Kozmo..
I didnt order from Webvan.. the delay was too much.. plus I never did grocery shopping.. the only thing i buy is water.. which in my case is cheaper to run down to the store and pick some up.
I didnt order from Webvan.. the delay was too much.. plus I never did grocery shopping.. the only thing i buy is water.. which in my case is cheaper to run down to the store and pick some up.
Wow, Bezos put money into something, and it didn't make money??!? Who would have thought??
Webvan was doomed because grocery stores have the infrastructure to do this better than an upstart could at a much lower cost. Demand just wasn't there either.
Webvan was doomed because grocery stores have the infrastructure to do this better than an upstart could at a much lower cost. Demand just wasn't there either.
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