Staples, the largest U.S. office supply chain, reported lower-than-expected quarterly revenue and forecast weak full-year earnings as corporate customers and other shoppers in Europe and North America reduced discretionary spending.
Many investors look at office-supply retailers as a barometer of economic health because demand for their products is closely tied to white-collar employment rates.
As customers increasingly buy office supplies online or at mass merchants, these chains are fighting a battle for relevance. Analysts have called for consolidation as sales crumbled after the recent U.S. recession.