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To: WAH who wrote (3887)5/3/1998 11:53:00 PM
From: Candle stick  Read Replies (2) | Respond to of 164684
 
barnesandnoble.com Offers Special Gifts and
Sweepstakes Prizes for Mother's Day

May 1, 1998

NEW YORK--(BUSINESS WIRE) via
NewsEdge Corporation --

Prizes include Bouquets of Flowers for a
Whole Year from

1-800-FLOWERS

barnesandnoble.com, the world's largest
online bookseller, offers plenty of fresh
ideas for Mother's Day.
Whether she's your
mother, mother-in-law, stepmom, grandma
or special friend, she'll be delighted to
receive these unique gifts. In addition,
Mom will be eligible for our special Mother's
Day sweepstakes.

Celebrate Mom! Sweepstakes

barnesandnoble.com teamed up with
1-800-FLOWERS to offer "Books & Blooms,"
two-in-one gifts for Mother's Day, that
can be found on barnesandnoble.com's
"Gift Center." "Books & Blooms" offers
three gift specials:

-- Pink Mini Rose Plants plus Chicken Soup
for the Mother's Soul:

101 Stories to Open the Hearts and
Rekindle the Spirits of

Mothers, edited by a number of writers
including Jack Canfield

and Mark Victor Hansen ($47.99).

-- A Spa Basket plus Modern Woman: A
Stress Relief Manual Just for

Women by Patricia Martin ($45.99). The
basket contains a body

bath bush, sisal back strap, loofah foam
sponge, bath scrunchie,

aromatherapy candle/eucalyptus, bath
salts, and honey and oatmeal

soaps, plus the manual, to help soothe
even the most stressed-out

Mom.

-- A Chocolate Heart Box (solid milk
chocolate box filled with 22

ounces of foil-wrapped, milk chocolate
hearts) plus Chocolate for

a Woman's Heart by Kay Allenbaugh. Ms.
Allenbaugh has compiled 77

all new stories by and for women about
friendship, faith,

courage, children, parents, and love.

When you buy any one of the "Books &
Blooms" gifts between now and May 7,
1998, you are automatically entered into
the "Celebrate Mom! Sweepstakes." One
lucky Mom will win a beautiful bouquet of
flowers each month for a full year. Online
visitors should see official rules for details,
including alternative means of entry.

Daughters & Mother Sweepstakes

Between now and May 8, 1998,
purchasers of Daughters & Mothers by
Lauren Cowen and Jayne Wexler ($19.98)
from barnesandnoble.com will be
automatically entered in the "Daughters &
Mothers Sweepstakes." Five lucky winners
will each receive a $100 gift certificate for
guilt-free shopping at one of these great
stores -- Barnes and Noble, J. Crew,
Williams-Sonoma, Godiva Chocolatier, or
Crate & Barrel. Online visitors should see
official rules for details, including
alternative means of entry.

Daughters & Mothers is a collection of
stirring essays and photographs of 30
mothers and daughters celebrating their
kinship. The book features women who are
politicians, musicians, athletes, actresses
and everyday people. They include
mothers and grandmothers, toddlers and
teenagers.

About barnesandnoble.com

barnesandnoble.com is a leading retailer of
books and the exclusive bookseller to
American Online(AOL)'s 12 million
subscribers. barnesandnoble.com also has
exclusive partnerships with more than
6,000 Web sites through its " Affiliate
Network," including CNN Interactive,
Disney, Lycos, and ZDNet.

barnesandnoble.com continues to bring
bookselling innovation to the Internet. It
was the first online bookseller to offer
deep discounts and the first to carry an
extensive inventory on its shelves.
Currently, the company stocks more than
600,000 titles in its state-of-the-art
distribution center, which is the largest
standing inventory of any bookseller
online.

About Barnes & Noble Inc.

Barnes & Noble Inc. operates 481 Barnes &
Noble bookstores and 520 B. Dalton
bookstores. Barnes & Noble stores offer an
authoritative selection of more than
175,000 titles from more than 10,000
publishers with an emphasis on small,
independent publishers and university
presses. The company also publishes
books under the Barnes & Noble imprint for
exclusive sale through its retail stores and
nationwide mail-order catalogs.

General financial information on Barnes &
Noble Inc. can be obtained via the
Internet by visiting the company's investor
relations Web site:
shareholder.com.

About 1-800-FLOWERS

1-800-FLOWERS, headquartered in
Westbury, New York, is the world's largest
florist and is recognized as a leading
integrated marketer.

1-800-FLOWERS is accessible through the
company's stores, via the Internet and
through online services, and by calling
1-800-FLOWERS 24 hours a day, 7 days a
week. All 1-800-FLOWERS orders are
custom-crafted to reflect the sentiments
of the sender and are delivered only
through the best neighborhood florists
worldwide.

CONTACT: Ben Boyd | (212) 414-6014 |
bboyd@bnweb.com



To: WAH who wrote (3887)5/4/1998 7:30:00 AM
From: John May  Read Replies (1) | Respond to of 164684
 
WAH,

You're right, of course, there's little evidence of "close to profitability," but loss for 1Q98 was less than 4Q97, so trend of losses may have bottomed. In Bezos letter to shareholders he made it clear, his first priority is market share.

You're right again, "bricks & mortar" crowd is not going to abandon shopping mall stores, but all they have to do is shift a portion - 10% - 20% of their purchases to the net to make AMZN a very big company provided they maintain a respectable net market share.

BKS did $15 million in the approx. 6 months you referred to. AMZN did $105 in same period. Lot of catching up to do for BKS. I guess that what was referred to as "getting act together." And, of course, BGP is not even on the playing field; they've missed the boat big time.

As for brand, Amazon's come out of nowhere, and most people familiar with the net know Amazon. Few people in my area of the country had heard of Barnes & Noble until they opened a store here about two years ago. I'd say Amazon's done an amazing job of creating a popular franchise.

The final quote in your note, "every Internet sale for BKS is a loss in their store" is true in that they have a large share of the bricks & mortar trade. What he didn't say is that the net sale eats into their profits, since it's often made at a lower price than they'd get in the mall. BKS has no choice but to cannibalize their own trade, and their profit margins are razor thin. They're stuck.

John