- Office Depot (ODP) and OfficeMax (OMX) merged, creating the largest U.S. office-supplies chain. The merger completed in November 2013. In Feb 2014. rival Staples had agreed to purchase Office Depot in a cash and stock deal worth approximately $6.3 billion. In December 2015, the Federal Trade Commission voted to block the merger.
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OfficeMax Inc. (OMX) reinstated its dividend after more than three years on hiatus in a display of confidence in its turnaround plan, as the office supplier swung to a better-than-expected profit in the second quarter.
Shares were up 15% at $4.92 in recent trading.
However, OfficeMax's revenue returned to decline after two rare quarters of growth, as retail sales continued to flag despite strength online and encouraging trends in contract operations. The company tightened its sales outlook for the year, showing that the office-supply sector continues to battle doggedly high unemployment and slowing economic growth's strain on consumers and businesses.
Chief Executive Ravi Saligram said Thursday the company's new strategic plan was gaining traction. He said the first half's 42% increase in operating income and modest increase in organic, like-for-like sales underscored a strengthening foundation. The last year OfficeMax posted revenue growth was 2007.