Walmart’s Feeling Very Merry; Walmart’s Also Getting Grinchy; Campbell’s: Carrot’s Not Good Food!

Drones, scooters, lip gloss trucks…oh my!

ID-100250414

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Those are just some of the goodies that are on Walmart’s top 25 toys for the holiday season. Wait! WWWWhhhhaaat? We didn’t even feast at our Labor Day barbecues yet and already the largest U.S. retailer is already gearing up for Christmas? Well, who can blame Walmart, after all? It has to compete against Toys R Us, Target, but most importantly, Amazon. In all fairness, there are only 114 days left until Christmas.  The toy industry sees 70% of annual sales occurring in the last two months of the year. No reason why that percentage can’t be increased. So it makes sense that Walmart is pulling out all the stops to upset the competition. Starting tomorrow you can even begin putting your holiday shopping on layaway. Just as long as the item(s) are a minimum of $50. Since toys that are inspired by movies outperform other toys by A LOT, Walmart is betting big on Star Wars, Disney and those ever-industrious Teenage Mutant Ninja Turtles. Input for the top 25 toys came from kids between the ages of 1.5 years old to twelve years old, whose faves included a Star Wars Electronic R2D2 and a Num Noms Lip Gloss Truck. Personally I could go for both. Six of the top 25 toys will be exclusive to Walmart, with another 400 more exclusives that didn’t break the top 25. Nothing like a little exclusivity to gain that retail edge, right?

In other Walmart news…

ID-10079499

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

On the heels of expanding its layaway program, the country’s largest private employer will be laying off 7,000 of its employees. Those employees will hail from the ranks of accounting and invoicing. But don’t be so quick to judge. There’ll be plenty of time for that later. By cutting those 7,000 jobs, Walmart can hire more employees to work in its stores in customer-facing positions. Hey, don’t knock it. It’s the one-thing Amazon can’t do as well given its online domination. And no doubt, if those 7,000 employees want customer-facing roles, its likely Walmart will find a place for them. I think. The irony just warms the heart, doesn’t it? This latest initiative began in the summer, when 500 stores eliminated three administrative positions. The test was to determine if the functions of those positions could be redistributed to other employees, with some even being replaced by machines. Unfortunately for those whose jobs were eliminated, the test worked. Walmart made a huge push shifting spending to employees who work in the stores stocking shelves and dealing with customers. Walmart already plunked down $2.7 billion for wage increases to boost the wages of those employees. There must be something to be said for that approach as the retailer reported 79 weeks of rising customer satisfaction, eight straight quarters of increased sales and improved traffic.

That darn carrot!

ID-100452592

Image courtesy of KEKO64/FreeDigitalPhotos.net

The world’s largest soup maker, Campbell’s Soup, reported smaller than expected adjusted profit for its fourth quarter. But the real story is the culprit behind that disappointing profit…carrots. Yes. Carrots. After all, how can you trust a vegetable that looks prettier than it tastes? Four years ago Campbell’s Soup bought Bolthouse Farms for $1.55 billion in order to expand its fresh and organic offerings. But this year a drought in California put quite the damper on the season’s carrot crop that led to lower sales of carrots – because of their higher-than-normal prices – and carrot-based products. Then there was that pesky recall of its protein drinks that also took those earnings on a very unpleasant dive. Campbell’s reported an $81 million net loss. However, that was tied to a $141 million pre-tax impairment charge from writing down the value of Bolthouse Farms. But still. The loss was painful. If that weren’t bad enough, the company also forecast earnings that were not what analysts were hoping to see. Instead of raking an estimated $3.15 for the year, Campbell’s only expects to take in between $3.00 and $3.09. Wall Street is so not into earnings forecast reductions. But Campbell’s still felt confident enough to raise its quarterly dividend from 31.2 cents to 35 cents. So maybe soup is good food after all.

Advertisements

Starbuck$$$ Coffee Buzz Gets Pricier; JPMorgan Ups the Minimum Pay Game; Drop in Job Openings Bums Out Economists

And then it happened…

ID-100190143

Image courtesy of Photokanok/FreeDigitalPhotos.net

If there’s one thing you can rely on at Starbucks, besides the quality of their coffee, it’s that come July, the company will raise its prices. Today, the company did just that for the third year in a row. What Starbucks dubs as a “small price adjustment” shouldn’t be too bad. Well, that is, depending on what you purchased. Hey, if you don’t like it, blame rising coffee costs. And Starbucks, too, I suppose. The amount of Americans who drink coffee is expected to rise by 1.5%. The more people drink, the more the beans cost. Just another case of supply and demand, my friend. Prices went up between 10 cents to 20 cents on its brewed coffee, and between 10 cents and 30 cents on its espresso beverages and tea lattes. However, the price increases vary depending on which region you find your local Starbucks. In the grand scheme of things, purchases only actually increase by about 1%. Plus, the price went up on only 35% of its beverages. Which means that 65% of its beverages remain unchanged, price-wise, for those of you who shun change. But in all fairness, Starbucks is giving its employees a 5% raise come fall, not to mention doubling stock awards for employees who have been there for two years or more. Not that their raises and stock awards had anything to do with boosting the price of your chai latte, mind you.

Dimon in the rough…

ID-100366392

Image courtesy of Sira Anamwong/FreeDigitalPhotos.net

Starbucks isn’t the only company who is giving its hardworking employees a raise. Enter JPMorgan, the second most profitable company in the United States, who is about to give 18,000 of its employees a much appreciated boost in their paychecks. And this time, the employees aren’t even the ones who regularly rake in big bonuses. JPMorgan CEO Jamie Dimon will be raising the company’s minimum pay by 18% for employees who are mostly bank tellers and customer service representatives. These employees currently receive $10.15 per hour, but over the next three years will see increases of $12 per hour and then $16.50 per hour, depending on several factors. The company is also beefing up its in-house training programs as well, to the tune of $200 million, that will train thousands of entry level employees who work in consumer banking. Mr. Dimon says the new initiative is all about addressing concerns over income inequality, an issue that’s been getting a lot of negative attention, usually directed at Mr. Dimon and his peers. He also says it’s a way to attract and retain talent – an idea that company’s like Walmart, Target and McDonald’s have already started putting into practice. But leave it to the skeptics to whip out their negative spin and question if Dimon’s motives have more to do with a shrinking labor pool, and if JPMorgan is just getting ahead of an issue that might pose a problem in the future. The cost of raising the minimum pay by 18% will cost JPMorgan just about $100 million, which is just $7 million shy of the total 2015 compensation for Jamie Dimon and his four top-named executives.

Book of jobs…

ID-100437549

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Even though JPMorgan and Starbucks are giving its employees more money to attract and retain great employees, the Bureau of Labor Statistics paints a very different employment picture. According to its latest report, job openings dropped to a five month low in May, with just 5.5 million jobs up for grabs, even though that same month also saw 5 million people getting hired. Not to be a downer, but that was the lowest rate since November 2014. At least voluntary quits fell to a 4 month low, with just 2.9 million leaving their jobs, presumably for better opportunities. Yet in April, job openings were at an all-time high. All these mixed numbers might just mean that the economy is not as healthy as we think it is. The Job Openings and Labor Turnover Survey, a.k.a JOLTS, is the division of the Bureau of Labor Statistics that tracks job openings, hires and separations. The Labor Department, which reports just on job creation and unemployment, reported that employers only managed to create 11,000 new jobs in May. In case you’re wondering why that’s a bad thing, then consider that those 11,000 jobs were 25 times less than the amount of jobs created in May of 2015. At least the number of layoffs and firings in May fell to a ten month low of 1.67 million. Economists, however, still think these numbers should be taken with a grain of salt. Which is easy for them to say since they seem to be gainfully employed.

Lookout China! Here Comes Walmart. Again; To Brexit? Or Not to Brexit? That is the Question; Volkswagen’s Emission Impossible

Ni-hao, Walmart…

ID-100222754

Image courtesy of sheelamohan/FreeDigitalPhotos.net

Because Walmart isn’t big enough, the retailer has now teamed up with China’s number two e-commerce site to take on…China. Alibaba, in case you hand’t heard, holds the illustrious top spot. In any case, Walmart will be selling its commerce marketplace in China to JD.com and in return Walmart will gain about 5% of JD.com’s total shares, which comes out to about 145 million shares, give or take. Those shares are said be valued at about $3 billion, depending on whom you ask. By the way, in terms of revenue growth, JD.com has outpaced Alibaba for almost the last two years. Walmart currently has a marketplace platform in place in China called Yihaodian, but JD.com will be taking it over in hopes of finally achieving some solid retail love in China, which has eluded the mega-tailer, thus far. Walmart’s thinking positive thoughts that this deal will help increase its market-share in one of the biggest economies in the world. Walmart opened its first store in China back in 1996, yet it is a bit bummed because it only has about 430 stores there as expansion in China has been underwhelming.

Hail or not to the Brexit?

ID-100398566

Image courtesy of sheelamohan/FreeDigitalPhotos.net

June 23rd’s Brexit vote is just around the corner so it would be prudent to discuss why the U.S. should care about British politics, even if its politicians aren’t nearly as entertaining as ours. So, in case you hadn’t heard, at issue is whether Britain should exit from the EU. Hence, the term “Brexit.” Catchy, huh? Brexit advocates cherish their sovereignty and find that as a member of the EU, they don’t find themselves enjoying their sovereignty quite the way they’d like. While that is awfully patriotic, there are major MAJOR economic drawbacks to a Brexit. British Prime Minister David Cameron is worried that a Brexit will hurt wages and usher in an era of uncertain economic stability. Economists and other assorted experts on the matter are worried that the pound, Britain’s currency, will plunge in value, should Britain make a run for it. A plunge in value of a currency is never a good thing, especially for the country whose currency is sent plunging. Of course, tourists and others buying Bristish goods and services might not mind that so much since everything for sale there would become a relative bargain. It’s also important to consider the potential epic losses for Americans whose economic interests are heavily dependent on exports to the U.K. But there are also plenty of other Americans who might become inclined to ditch their investments and other economic opportunities in Britain as well. An exit from the EU would require all sorts of new trade agreements – for everyone  – and those things just take forever to draw up. Britain’s interests would almost certainly take a back seat to the bigger and more profitable interests of the loftier EU. As of now, there are no tariffs between the 27 members of the EU. A Brexit would change that for Britain and make tariffs a way of life, together with high tea and Harrod’s. So I guess it’s a good sign – just not for Brexit advocates – that polls show a Brexit isn’t likely.  The British sterling rose and one of its indexes, the FTSE  (rhymes with tootsie) also picked up some steam as a result of the anti-Brexit poll numbers.

Smelling a rat…

ID-10020891

Image courtesy of sheelamohan/FreeDigitalPhotos.net

Ex-Volkswagen CEO Martin Winterkorn is under investigation, which probably shocks no one. He is under investigation because German prosecutors suspect that Winterkorn violated securities laws since he waited too long to disclose to investors the potential cost of the ugly emissions scandal that continues to plague the auto maker. If you recall, the EPA is more than a bit peeved that Volkswagen manipulated results of emissions tests on its vehicles, with more than 11 million diesel vehicles poisoning the air we breathe. Winterkorn apparently knew about the emissions problems for over a year before he made any comments on it. He should have said something well before September 22, 2015. But he didn’t. And herein lies the problem. Even if he did resign days later. Of course, blame games in major companies have become somewhat of a sport, or in this case, a veritable comedy. Executives at the company are pointing fingers at a handful of mid-level employees – I kid you not – and assume that the public is going to believe them when they say that top management were completely oblivious to emissions manipulations taking place right under their executive-polished noses. Incidentally, there is another executive who is also under investigation but his/her identity has yet to be revealed. What has been revealed is that it is not ex-Volkwagen CFO Hans Dieter Poetsch. Lucky him.  According to the investigation, 17 people are said to be involved. But in the meantime, hundreds of lawsuits continue to mount against Volkswagen, and the car company has plans to pony up a $10 billion settlement in the U.S. come June 28.

Whole Foods is Getting a Whole Lot Sunnier; Nothing Like a Good Shareholder Fight; Urban Outfitter Pleasantly Surprises

Here comes the sun…

ID-10048223

Image courtesy of digitalart/FreedIgitalPhotos.net

Whole Foods is getting solar with a little help from Elon Musk’s Solar City and NRG Energy.  Of its 430-plus locations, up to 184 Whole Foods stores will get the solar treatment and with the stashes of money it is expected to save over the long run, maybe the organic grocer will start pricing their merchandise a little more cost-friendly. Whole Foods went with both companies so as not to be limited. Sounds fair. With a disappointing fourth quarter that saw a $432 million loss and a slower rate of growth, SolarCity’s stock needed this deal which gave its stock a solid 6.3% lift. Because oil prices have been so low, consumers haven’t exactly felt the fiscal pinch to get cost-effective solar installations and SolarCity’s been feeling that effect in its numbers. No word yet on which locations will get the solar experience but the move will put Whole Foods in the same company as Costco and Walmart for being among the top 25 corporate companies to go solar.

United they fall…

ID-100181528

Image courtesy of cooldesign/FreeDigitalPhotos.net

United Airlines has had better…decades, as two investment funds, who together own a 7.1% stake in the airline, are gearing up to turn the airline’s board of directors on its head. PAR Capital Management Inc. and Altimeter Capital Management LP aren’t happy with the way things have been going at the airline, which happens to be ranked as the third largest carrier by traffic and boasts 85,000 employees. The firms have nominated 6 new directors for the United Continental Holding Inc. board in hopes of undoing the “poor performance and bad decisions over the last several years.” Ouch. Because they feel the board is ineffective, one of the board members they are looking to bring in is former CEO Gordon Bethune, who ran the ship from 1994 – 2004, and is credited with turning the airline around back then. Shareholders will vote on the issue at the company’s annual shareholder meeting in the spring. Judging by the company’s low-employees morale, poor customer service, spate of electronic glitches and its inability to improve its on-time performance, there’s probably a whole lot of ugly going on there. The fact is that most of the other big airlines are cranking out huge billion dollar profits, while United Continental is still figuring out how to play catch-up, even after its 2010 merger, which is still plagued by tons of kinks. This news comes just two days after CEO Oscar Munoz announced that he’d be returning to his post on March 14, after being on medical leave since his October heart attack. Oscar Munoz came on board back in September, on the heels of former CEO Jeff Smisek stepping down after it was disclosed that there was a federal investigation involving United Continental and the Port Authority of New York and New Jersey.

So trendy…

ID-100266805

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Urban Outfitters’ stock rallied today close to 17% and for a few good reasons. First, the company took in a profit of $72.9 million, adding 61 cents per share. Even though last year the company took in $80.3 million and 60 cents a share, it was still a Wall Street beat since analysts predicted that this time around the retailer would only add 56 cents per share. Boom. The company flat-lined in terms of its net sales, posting $1.01 billion, but it was the improved margins that had Wall Street tongues wagging. There are few things that Wall Street loves more than improved margins and execs are expecting more improvement on the Urban Outfitter fiscal horizon. The trendy apparel company also scored big with customers by adding some new beauty products that it started selling both online and in 70 shops within the stores. In fact, that rollout proved to be such a success that 60 more stores will get to revel in that retail experience.  Investors were so wowed by Urban Outfitters results that over a dozen brokerages even raised their target prices for the company’s stock, with some brokerages predicting those shares could go as high as $38 a share.  Not every analyst was as generous, however, the stock did close today at 32.69.

Walmart Bums Out Wall Street; Puma Deals a Mighty Blow to Yeezy; Is IBM Back in the Game?

Fall-mart…

ID-100206910

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Walmart announced earnings and, in the process, managed to put a damper on Wall Street’s day. The company posted .6% growth and while nobody argues that growth is bad , the company still missed expectations of 1% growth. It’s now expected that Walmart will post a very boring flat line to illustrate its net sales even though previous forecasts called for 3% to 4% growth. Profits for Walmart fell almost 8% to $4.57 billion and posted revenues of $129.7 billion. While that may seem like a nice beefy number, analysts still expected $131 billion in revenue. The numbers weren’t helped by Walmart’s decision to close 269 stores worldwide, including 154 just in the United States. Then there were those wage increases and investments into its digital commerce that ate a bit into those profits. But Walmart is banking on the fact that those investments will yield big returns, even if it does mean a little wait. After all, if it’s gonna compete with Amazon, it’s gotta put in the time and money. Of course, mother-nature gets some of the blame too, seeing as how warm weather put a crimp in sales of cold weather merchandise. But don’t rule out the strong dollar, which also deserves plenty of the blame. At least shares are up over 6% in the last three months and the retailer is raising its dividend by 4 cents to generous $2 per share. Woohoo.

Swift karma…

ID-100308209

Image courtesy of winnond/FreeDigitalPhotos.net

Puma had a very good quarter and much of the credit for that can go to Rihanna. Yes, that Rihanna. As the brand’s creative director, the pop star is helping shape the female future, as Puma refers to this endeavor. The company had higher than expected sales growth for its fourth quarter, just as Rihanna launched her first full goth-inspred line for the athletic apparel retailer. Back in the fall, RiRi’s remake of Puma’s classic suede kicks sold out within hours of going on sale. Puma’s profits were up 2.6% to 10.9 million euros, easily beating forecasts of 6.5 million euros. Sales rose 11.5% to 979 million euros when analysts expected just 839 million euros in sales. And maybe Kanye West should take to Twitter to hit up his sister-in-law, Kylie Jenner, for some cash, instead of Facebook CEO Mark Zuckerberg. She’s been named as the company’s brand ambassador, contrary to his hopes that she would be on his Team Yeezy Adidas line.

Have patients…

ID-100395628

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

IBM. Remember that name? The company just whipped out $2.6 billion for its latest acquisition, Truven Health Analytics. Under CEO Ginny Rometty, IBM has so far spent $4 billion in acquisitions in the last 12 months but this latest one is IBM’s biggest purchase in three years. Wall Street reacted kindly by giving shares of IBM their biggest jump since 2013, and sending them all the way up to $134. That’s especially reassuring for IBM since it posted 15 straight quarters of declining sales. Truven was acquired since IBM brass thought it would fit nicely into its Watson Health biz unit. FYI, Watson is IBM’s fabulous collection of artificial intelligence technologies that does all kinds of super fun stuff like taking data apart to analyze it, interpret it and see if any patterns can be predicted.  With this acquisition, IBM will have health info on 300 million patients and employ 5,000 people worldwide.

 

 

 

Fall-Mart; Twitter Fires, Twitter Hires; Feeling Spent

Execu-llent…

Image courtesy of Sira Anamwong/FreeDigitalPhotos.net

Image courtesy of Sira Anamwong/FreeDigitalPhotos.net

Even though Twitter announced yesterday that it is shedding 8% of its workforce, today the social media company announced that its adding someone new to that very same workforce. Enter Omid Kordestani who is jumping the Google ship in order to bring his fiscal talents over to embattled Twitter.  Omid will assume Jack Dorsey’s old title of executive chairman, which he dropped last week when he, once again, assumed the title of CEO. Omid Kordestani comes to Twitter from not-at-all embattled Google Inc. where he not only left the post of Chief Business Officer, but also $115 million in equity awards. That’s according to a regulatory finding, anyway. Omid, who was apparently employee number 11 at Google, and affectionately called Google’s “business founder” by Larry Page, left the company in 2009, but returned in 2014, only to head on off into the Twitter sunset.  Even though Omid Kordestani started his Twitter account back in 2012, his most recent tweet about his new post, was only his eleventh time using the platform. His lack of tweeting is, presumably, about to change.

Not “fine” by me…

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Wal-Mart might be the mother-of-all retailers but, as they say, the bigger they are, the harder they fall, especially on Wall Street. And unfortunately, a big company like Wal-Mart has a nasty little way of taking the Dow Jones Industrial Average with it.  This particular fall was, unfortunately, rather epic. Wal-Mart took a $20 billion hit because it’s predicting a very disappointing forecast. The world’s largest retailer doesn’t expect to experience growth for fiscal 2016 (which ends in February, btw). Investors loathe bad forecasts. Well, who doesn’t? This bad forecast gave way to Wal-Mart’s biggest stock drop in 15 years and shaved 9% off the value of its shares. Of course, the strong dollar gets part of the blame as it’s hurting sales abroad. But then there’s the investment the company is putting into its e-commerce. Wal-Mart is looking to plunk down $900 million next year, and over a billion dollars the following year to beef its tech efforts. All that cash is going to gouge those much relished profits. Also eating into those profits are wage increases that the company is giving out to thousands of employees. But what really got Wall Street in a fit was when Wal-Mart CEO Doug McMillion told CNBC interviewers that Wal-Mart will do “fine” during the holiday season. And that one word means anything but to investors.

Save it for later, will ya?

Image courtesy of  FrameAngel/FreeDigitalPhotos.net

Image courtesy of FrameAngel/FreeDigitalPhotos.net

Retailers aren’t exactly giddy these days as more Americans decided to save up all that money from low gas costs instead of spending it. As a result, retail spending only experienced a .1% gain in September even though analysts predicted gains from .2% to .6%. Since consumer spending accounts for 70% of the economy, that .1% gain is nothing but brutal fiscal news. In fact, seven out of thirteen retail categories experienced declines. Ironically enough, gas stations took a 3.2% hit because…can you guess? Lower prices at the pump. Hence, they couldn’t pull in all that cash like they did in the past. What isn’t ironic, just annoying and mildly disconcerting, is that this .1% was the biggest drop since January and represented no change from August. So get out there and spend!

Airbnb Books It For Cuba; Headed Out of Indiana; Walmart’s Beef With Discrimination Bill

Bienvenido…

Image courtesy of  taesmileland/FreeDigitalPhotos.net

Image courtesy of taesmileland/FreeDigitalPhotos.net

With the normalizing of relations between the United States and Cuba, you can be sure that businesses are on the hunt for the countless opportunities that can be found on the island nation. Netflix made its Cuban debut a few months back, along with a handful of other companies. Now its Airbnb’s turn. The online rental website for wallet-conscious travelers saw a 70% spike in searches for rentals on the island nation following President Obama’s announcement about the easing of restrictions there. The way Airbnb sees it, “We are actually plugging into an existing culture of micro-enterprise in Cuba. The hosts in Cuba have been doing for decades what we just started doing seven years ago.” So far the website has over a thousand rental listings. But the rentals can only be used by U.S travelers and travelers must have one of the required licenses to even travel there. Many feel that Cuba could become one of Latin America’s biggest markets, but some are skeptical that Airbnb is going to be able to take much advantage of that. With 15% of Airbnb’s fee being split between the renter and the owner, it seems likely that Cubans would rather forego Airbnb’s services and keep that extra cash for themselves. Then there’s the issues about the lack and slowness of internet access which just might impede some travel opportunities, not to mention profits, that are found online.

It’s only getting worse…

Image courtesy of stockimages/FreeDigitalPhotos.net

Image courtesy of stockimages/FreeDigitalPhotos.net

Salesforce.com CEO Marc Benioff is socking it to Indiana and its very unpopular decision to sign the Religious Freedom Restoration Act. The San Francisco-based global cloud computing company is offering relocation packages to employees who don’t feel comfortable in the Hoosier state as a result of the new law. Several employees have already taken advantage of the relocation offer. “One thing that you’re seeing is that there is a third [political] party emerging in this country, which is the party of CEOs.” In fact, more than 39 CEO’s signed a joint statement protesting the law and while Indiana Gov. Mike Pence said there would be “fixes” put into place that would offer protections for certain sexual orientation and gender identities, many remain unconvinced, and the economy in Indiana could suffer mightily. While Benioff wouldn’t mind totally ditching Indiana, he still has about 2,000 employees which makes that endeavor a little improbable. But he still has plans to significantly scale back operations there. “We want to invest in states where there is equality.” So basically, you can cross Indiana off the list.

Speaking of which…

Image courtesy of iosphere./FreeDigitalPhotos.net

Image courtesy of iosphere./FreeDigitalPhotos.net

Walmart has done something nobody expected it to do. Not a company known to embrace social issues, it helped shoot down a bill that was similar to the Religious Freedom Restoration Act passed in Indiana. Even though the retailer has been known to support many conservative causes, both fiscally and otherwise, this time it took to social media to protest this particular bill. Walmart CEO Doug McMillon wrote: “Every day, in our stores, we see firsthand the benefits diversity and inclusion have on our associates, customers and communities we serve.” To be fair, it would have been sheer fiscal stupidity not to protest the bill. It made perfect business sense. McMillon further added that the bill “…threatens to undermine the spirit of inclusion present through the state of Arkansas and does not reflect the values we proudly uphold.” He then went on to ask Arkansas Gov. Asa Hutchinson to veto the bill and wouldn’t ya’ know it? When the mighty Walmart talks, the Arkansas governor listens. Gov. Hutchinson amended the law.