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Casper has mastered how to sell mattresses in a box online. Now the company will test its strength at the store.CEO Philip Krim said Casper will open 200 stores across the country in the next three years. The Wall Street Journal first reported the company's plans."It will give us a footprint to help educate consumers," he said in an interview.The announcement is a clear signal that Casper, an online startup that launched in 2014, believes a physical presence is still a crucial part of retail.Casper has recently rolled out 19 pop-up stores in markets like New York and San Francisco, and Krim said they are beating expectations, convincing the company to expand deeper."The presence of physical stores increases both offline as well as online sales," said Barbara Kahn, a marketing professor at Wharton.A permanent store footing will help Casper build loyalty with current customers, gain exposure among new shoppers, and increase impulse buys that can only come from browsing physical locations, she said.In addition, people usually want to try out mattresses and bedding before they make a final purchase, and stores will give Casper another way to appeal to them.The plan marks a new front for Casper, which broke into an industry controlled by brick-and-mortar retailers like Mattress Firm and Sleepy's.Casper distinguished itself by pricing the only mattress it sold at the time below its competitors, as well as offering free delivery and a 100-day trial period at home."Consumers have long gone into traditional mattress stores feeling uninformed and have been subject to ridiculous price points," said Bob Phibbs, CEO of the consultancy Retail Doctor.Casper offers just three varieties of mattresses, which gives it an advantage over rival mattress stores that offer a confusing array of soft, firm, foam, springy, and everything in between, Phibbs noted.Casper gained attention online with customers posting videos of themselves unboxing mattresses on social media, racking up 0 million in sales during its first full year.As it continued selling direct-to-consumer online, moving into bed frames, sheets, pillows, and dog mattresses, Casper partnered with retailers like Nordstrom, Target, and West Elm to increase distribution.Stores will help Casper stand out in a crowded mattress environment. Digital rivals such as Purple, Leesa, Tuft & Needle, and Yogabed have cropped up, while legacy retailers have taken a page from Casper, introducing delivery in a box."By opening stores, they are upping the ante to compete, and less well-funded competitors may be at a disadvantage," said Kahn.Amazon has also become a huge mattress player, increasing its sales in 2017 by 82% from the prior year, estimated research firm One Click Retail. Casper is only one of dozens of mattress brands Amazon sells.As Casper moves into brick-and-mortar territory, Mattress Firm is retrenching. Mattress Firm has closed 200 stores in 2018, according to Coresight Research, a retail think tank.Reuters reported this week that it was weighing a bankruptcy filing to close some of its 3,000 stores that were losing money.The company declined comment through a spokesperson.Casper is playing a different game than Mattress Firm, though.Online retailers like Casper and Warby Parker want stores to help it achieve scale advantages, while legacy retailers are trying to escape malls and invest in delivery and supply chains to survive online, said Jefferies analyst Randal Konik. 3489

CHICAGO (AP) -- A federal judge has ruled Attorney General Jeff Sessions cannot follow through with his threat to withhold public safety grant money to Chicago and other so-called sanctuary cities for refusing his order to impose tough immigration policies.U.S. District Judge Harry Leinenweber on Friday granted Chicago's request for a temporary "nationwide" injunction. That means the Justice Department can't deny requests for the grant money until Chicago's lawsuit against the agency is concluded.  He wrote that Chicago has shown a "likelihood of success" in its arguments that Sessions overstepped his authority with the requirements.Chicago refused to comply with the Justice Department's demand that it allow immigration agents access to local jails and notify agents when someone in the United States illegally is about to be released from custody.  877

CHARLOTTE, N.C. (AP) — Bubba Wallace is leaving Richard Petty Motorsports at the end of the season. NASCAR's only full-time Black driver informed RPM of his decision Thursday. He will finish the final nine races in Petty's famed No. 43 car. Wallace posted a statement about his decision on Twitter.Wallace says, "this was not an easy decision as I have nothing but the utmost respect for Richard Petty and his family." 426

CARLSBAD, Calif. (KGTV) -- Police and the FBI are asking for the public’s help in identifying a man suspected of robbing a bank in Carlsbad.Carlsbad police said the robbery happened on Oct. 1, at 3:45 p.m., in the 6900 block of El Camino Real.According to police, a white man believed to be in his mid-20s entered the bank and demanded cash. The man referred to a gun during the robbery, but a firearm was not seen, police said.After getting an undisclosed amount of money, the man exited the branch and was last seen running toward Dove Lane.Police noted that “no vehicle has been associated with the suspect.”No injuries were reported during the incident.The suspected robber is 5 feet 10 inches tall, weighs 180 pounds and has a thin build. He was last seen wearing a black baseball cap, black long-sleeved shirt and blue jeans.Anyone with information on the case is urged to contact the Carlsbad Police Department 760-931-2110. 939

California's attorney general sued Sutter Health, accusing the hospital giant of illegally quashing competition and for years overcharging consumers and employers.The lawsuit marked a bold move by state Attorney General Xavier Becerra against the dominant health care system in Northern California as concerns mount nationally about consolidation among hospitals, insurers and other industry middlemen."It's time to hold health care corporations accountable," Becerra said at a news conference Friday. "We seek to stop Sutter from continuing this illegal conduct."The antitrust suit, filed in San Francisco County Superior Court, asks the court to prevent Sutter from engaging in anticompetitive practices and "overcharges."It said Sutter employs a variety of improper tactics, such as gag clauses on prices, "punitively high" out-of-network charges and "all-or-nothing" contract terms that require all of its facilities to be included in insurance networks.Taken together, Sutter's actions "improperly block any and all practical efforts to foster or encourage price competition between Sutter and any rival Healthcare Providers or Hospital Systems," according to the state's complaint. "Sutter's conduct injured the general economy of Northern California and thus of the state.Sutter, which owns 24 hospitals, reported net income of 3 million last year on .4 billion in revenue. Sutter's nonprofit health system also has 35 surgery centers, 32 urgent-care clinics and more than 5,000 physicians in its network.In a statement, Sutter it was reviewing the complaint and couldn't comment on specific claims.Overall, Sutter said, "healthy competition and choice exists across Northern California" for consumers seeking medical care. It also said its charges for an inpatient stay are lower than what other nearby hospitals charge."Sutter Health is proud to save patients, government payers and health plans hundreds of millions of dollars each year by providing more efficient and integrated care," the statement said.This high-profile legal fight caught the attention of employers and policymakers across the country amid growing alarm about the financial implications of industry consolidation. Large health systems are gaining market clout and the ability to raise prices by acquiring more hospitals, outpatient surgery centers and physicians' practices.Martin Gaynor, a health care economist at Carnegie Mellon University, said California's lawsuit may portend more litigation at the state level."There are a number of markets in the U.S. that are dominated by one very large, powerful health system," Gaynor said. "It could be that we're going to see a new level of activity by state antitrust enforcers looking at competition in their own backyards."Glenn Melnick, an economist and expert on hospital finances at the University of Southern California, said if the state prevails against Sutter it could put "a chill on anticompetitive practices that are being adopted across the U.S. and that could help slow down hospital price increases. That would be good news for consumers."The complaints about Sutter's high prices and market power have persisted for years.The state said its investigation started in 2012 under Kamala Harris, California's previous attorney general and now a U.S. senator. Six years ago, her office sent subpoenas to several health systems and insurers seeking information about market concentration and its effect on medical prices.A 2016 study found that hospital prices at Sutter and Dignity Health, the two biggest hospital chains in California, were 25% higher than at other hospitals around the state. Researchers at the University of Southern California said the giant health systems used their market power to drive up prices — making the average patient admission at both chains nearly ,000 more expensive.Last week, researchers at University of California, Berkeley issued a report that examined the consolidation of the hospital, physician and health insurance markets in California from 2010 to 2016. The authors said 44 of California's 58 counties had "highly concentrated" hospital markets.After the report was issued Monday, Becerra said his office would be reviewing those findings and pledged to apply more scrutiny to health care mergers and anti-competitive practices across the state.Sutter Health has gobbled up doctors' practices across the Bay Area, gaining market muscle that has pushed costs upward. Obstetricians employed by Sutter Health, for example, are reimbursed about three times more for the same service than independent doctors, according to a KHN review of OB-GYN charges on several insurers' online cost estimators. It's a key reason why Northern California is the most expensive place in the country to have a baby.At his news conference, Becerra said he's committed to scrutinizing other players besides Sutter in the health care industry who may be engaging in anticompetitive behavior and potentially harming consumers.Consumer advocates and state lawmakers applauded Becerra's aggressive action because of the toll high prices take on millions of Californians. Many residents struggle to pay rising insurance premiums and out-of-pocket expenses for emergency room visits or routine hospital tests."Consumers bear the burden of these monopolistic activities," said state Sen. Ed Hernandez (D-West Covina), chairman of the Senate health committee. "To ensure health care is affordable and accessible to all, we have to get a handle on predatory pricing."In many ways, Becerra's lawsuit mirrors a similar civil case filed in 2014 by a grocery workers' health plan.The attorney general's office filed a motion in court asking for its lawsuit and the class action to go to trial together before the same judge. The trial is scheduled for June 2019 in San Francisco."While we certainly would have preferred this happened earlier, we respect the attorney general's care in conducting a thorough investigation before filing charges," said Richard Grossman, the lead plaintiffs' lawyer representing the class of more than 1,500 employer-funded health plans.In its lawsuit, the attorney general's office blamed Sutter for much of the increase in health care costs across Northern California because "Sutter embarked on an intentional, and successful, strategy of securing market power in certain local markets." State lawyers also pointed out that Sutter's conduct triggered an "umbrella effect" by encouraging other providers to raise their own prices.The state's lawsuit said Sutter used its windfall from excessive prices to acquire more hospitals and medical groups. It also enabled Sutter to "bestow extremely high salaries for its officers and upper management," according to the state complaint.Patrick Fry, Sutter's chief executive from 2005 to 2016, had .4 million in total compensation during his last year there, according to Sutter's 990 tax filing for 2016, the most recent year available.Overall, 18 executives at Sutter had million or more in total compensation during 2016, the federal tax filing shows.Karen Garner, a Sutter spokeswoman, said Fry's compensation in 2016 reflects retirement benefits he accrued over many years. She added that "industry comparisons show our salaries are reasonable and competitive, given the size, scope and complexity of our organization." 7370

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