OfficeMax Q2 moves into the red



OfficeMax has reported a Q2 net loss of $21.5 million compared with net income of $51.1 million in the same quarter last year.


Q2 sales fell to $2.091 billion from $3.401 billion a year earlier.


Chairman and CEO Sam Duncan said: "While our contract segment showed strength, overall we are disappointed in the second quarter results, which were impacted both by the normal seasonal decline and by some weakness in our retail segment due in part to our re-merchandising initiative focused on the small business customer."


Meanwhile, the compny has confirmed that it will consolidate its headquarters in Illinois following talks with officials in both Illinois and Cleveland. Both regions offered the retailer financial incentives, according to a report in the Chicago Tribune.


Duncan said: "While our review resulted in the selection of Illinois, the decision was a difficult one. OfficeMax values the support that we have received in Ohio throughout the development and growth of our company and we remain committed to Ohio in our retail and contract businesses."


The selection of a Chicago site is expected to be finalised by the end of the month.