Aeropostale Financial Summary

Introduction
“Aeropostale clothing was an in-store brand sold at Macy’s but in 1987 Macy’s decide to open and independent Aeropostale store. In West LosAngles, California. The founded are R.H. Macy’s & Co, originally. R.H. Macy’s form the independent Aeropostale store.” (Aeropostale Company From 10-k (2015). However, their mean focuses were on trendy, casual apparel for young women and men. Aeropostale products can only be brought in Aeropostale store. Their products and services are casual apparel and accessories, principally targeting, 14-17-year-old young women and men. They also are targeting 4 to 12-year-old kids line of products. Aeropostale offer online shopping through its e-commerce Website ps.4u.com.
The company currently operates

97 P.S kids store from 22 different states, and the store online center, currently has 914 Aeropostale stores in 50 states, and Puerto Rico, and Canada 97. In addition, pursuant to various licensing agreements in other country. Their currently operates 20 Aeropostale P.S. kids store in the Middle East, Asia and Europe. Their Competitors are American Eagle- Outfitter Inc, The Gap Inc, and Abercrombie & Fitch Co. Aeropostale is unique for their logos, it’s their design and some states has its own special logo. New York Aeropostale logo has New York name include. In Aeropostale products their logos, line of fashion identifies each individual product on the inside of its tags. Aeropostale also has a logo for TaTum-362 Apple phone case cover for the iPhone SE. There are 1000 of ideas about Aeropostale. There main location is in the Middles East Asia, Europe, and Latin America. (Aeropostale Company From 10-k (2015).
While researching Aeropostale financial performance for the year ending, 2015. I learned that Aeropostale Corporations were in financial trouble. However, due to the competitive teen retail the environment and a shift in customer demand away from Aeropostale product. This has contributed to the company unfavorable financial performance. The ending year of 2015, Aerosostal loss was 8.6 percent throughout their Corporations sale. In 2016, Aeropostale file bankruptcy due to their loss. By looking at their overall financial performance for 2015, will help give us a better understanding.
Financial Performance and Liquidity I
The Aeroperstale Corporation financial performance decline very rapidly in 2015.

Cash Ratio = Show on balance sheet =151,750 + Current Liabilities = 198,849 = 305.599 / 2= 1.52. However, this is what Aeropostale Corporation started with at the beginning of 2015. This late you know the Corporation has a great loss of income by the end of 2015. Current Ratio = loss current asset 213.138 / current Liabilities 3.944 = -0.56. Aeropostale company ratio is at -0.52 and the company has loss 56. Cents per dollar. This is not looking good for the company finances. Total Loss Current Ratio = Total Assets 206.458 / Total Liabilities, 247.775= -00.1. This showing that Aeropostale has exceeded way over their limited they are at $70.0 million for year of 2015. Their minimum availability covenant by $ 198.6 million they need to generate cash as soon as possible. Quick Ratio = Loss Current Liabilities, 213.138 + Loss Net Credit Sale, 40.808 + Account payable = 303.428 / 2 = -1.51. This mean the that company has no available assets to cover

loss.
Account Receivable Ratio, = Sale, 1,838.663 – Sale loss payable 49.482 = 476.433.37 /2 = -23.8.

This is what cause Aeropotsale Corporation to file bankruptcy. Inventory Turnover Ratio, = Goods Sold, = 1,502.225 + Average Inventory, 40.808 = 42,310.225 / 2 = 21.1. Aeropostale look to have a high ratio, this mean that the company lost sale or there is not enough inventory to meet the demand. Return on Equity = Net Loss Income, - 206,458 / Shareholder Equity 796 = -0.26 The Aeropostale has no return on equity. This is not very good for business, because they did not profit they lost money.
Net Profit Margin, = Net Loss Income, -206,458 - Net Sales, =1,838.663 = -00.9. I truly believe that marking should have caught this in the middle of the years and done some type of special promotion. To help build up revenue for the Corporation before the end of 2015.With a Corporation like this having financial difficulties, their come competitors fill they have the upper hand.
Company

Objectives
While analysis Aeropostale financial dilemma, “grant's profitability, turnover and liquidity ratios had trended downward over the 10 years preceding bankruptcy. But the most striking characteristic of the company during that decade was that it generated no cash internally.” (Largay III, J. A., & Stickney, C. P. (1980). As managers of the company and their where losses in the first and second quarter. I would have taken step to identify what the company could do to turn their capital around. By reorganizing our marketing pitch. Looking at our competitor’s price and see if we could profit by lowing our prices. Consequently, “Aeropostale file bankruptcy the company will have internal and external factor. This can impact their bargaining power with whole supplier, retailers that are unreliable performance.” (Mahboobinejad, H. (2015).
I feel that Aeropostale management team were not properly communicating. As manager, in a corporation it is their job to oversee all department and making sure they are running effectively. One of the most important factor is know how your financial team doing in accounts receivable and account paying out. Manager need to stay on top all investment. Each level of managers has a responsible provide detailed information to CEO or Board of Directors. I feel that all quarterly reports are very vital to the company. If I was a manager in any level of the company these most important to have a successful business. I cannot leave out the marketing department, and it’s strategies for sale. The reports let the company know where they headed financially. (Mc Graw Hill. Pg.107).
The CEO and Board of Directors, needed to work together and look for recommendation to help build their capital. That mean even going outside of the company for help. They should have been able to predict their outcome before the end of 2015 Annual quarter. In a corporation, there is more the just loss to look at. Once your foundation has crumbled, the company need to take new approach. When you have competitor, working to sale similar product just different name. Aeropostale need “to gain greater insight into our customer base and better understand our customers' needs, we conduct independent focus groups on a periodic basis, harness the knowledge of our teen employee base, and leverage the experience of our internal customer insights group”. (Aeropostal, Table of Contents. Pg. 4). What was Aeropostale strategies or objectives. All company strategies can be defined at a very high where it specifies performance targets, plans and schedules for operation, Success business show work with all level of strategic, level encompassing the business, vision, mission and long-term goals. (Chungyalpa, W., & Bora, B. (2015). “Aeropostal has implementing initiatives intended to rebuild up their foundation and financial performance. Aeropostale, said its new target customer is 14-17-year-old. The name of the new look is “flirty tomboy”, for their new market target.” (Aeropostale, Table Contents. Pg. 24).
Conclusion
I truly believe that the upper management did not acknowledge their first and second quarterly reports for 2015. These reports give information they need, for profit and loss. Consequently, Aeropostale management-team drop the ball, the value of having a successful business is being effect and efficient. That mean, come outside the company consider economy environment which their company service as a hold. This way their marketing department would had hands on knowledge to bring back to company. This give them the opportunities to help turn their finances around an sale performance. Even learning all they can about their competitor new idea for business.