Sunday, November 16, 2008

Japan's Feeling It Too

Can't say I like seeing Starbucks or my old employer making this kind of news...

Japan's Service Demand Declines for a Second Month
"Japan's demand for services fell for a second month as squeezed profits began to affect employment and paychecks, dimming prospects for consumer spending to support the world's second-largest economy.
USJ Co., the operator of theme park Universal Studios Japan, last month reported a 21 percent decline in profit in the first half of this fiscal year, citing fewer visitors and sluggish sales of food and drinks.
Japanese are thinking twice about buying lattes and going to the movies. Discretionary spending fell 7.5 percent in September from a year earlier, accounting for three quarters of the drop in household purchases. Starbucks Coffee Japan Ltd., an affiliate of the world's biggest coffee chain operator, last week lowered its full-year profit projection 32 percent because of weak sales."

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