nb_cid nb_clickOther -tt-nb this.style.behavior='url(#default#homepage)';this.setHomePage('http://www.aol.com/?mtmhp=acm50ieupgradebanner_112313 network-banner-empty upgradeBanner
14
Search AOL Mail
AOL Mail
Video
Video
AOL Favorites
Favorites
Menu

Bezos offers update on groceries, drones



NEW YORK (AP) -- CEO Jeff Bezos' annual letter to shareholders offers a glimpse into Amazon's internal workings and what it is aiming for in the future, including more grocery services and the much-discussed drone delivery.

In the letter released Thursday, Bezos outlined Amazon's offerings, including its fresh grocery business called Prime Fresh, which it has offered for five years in Seattle and expanded to Los Angeles and San Francisco. For $299 a year members get same-day and early morning delivery on groceries and other items ranging from toys to electronics and household goods. Bezos said the goal is to expand to more cities over time.

After making a hubbub about testing delivery by aerial drones in December, the company said its Prime Air team is testing fifth- and sixth-generation aerial vehicles and in the design phase on generations seven and eight. In December Bezos said Amazon was working on creating unmanned aircraft to deliver packages, but said it would take years to advance the technology and for the Federal Aviation Administration to create the necessary rules and regulations.

In a quirk, Bezos also said Amazon offers employees money to leave the company, a program called Pay to Quit, modeled after a similar program at Zappos. Once a year, the company offers $2,000 to quit, adding $1,000 a year, up to a maximum of $5,000.

"The goal is to encourage folks to take a moment and think about what they really want," Bezos said. "In the long-run, an employee staying somewhere they don't want to be isn't healthy for the employee or the company."

Amazon.com Inc. has changed the consumer shopping landscape, transforming itself into the largest U.S. online retailer, selling books, gadgets and most everything else, usually at cheaper prices than its competitors. The Seattle company has long focused on spending the money it makes to add business and expand into new areas, from movie streaming to e-readers, grocery delivery and most recently a set-top streaming device called Fire TV.

Investors have largely forgiven thin profit margins and zeroed in on the company's solid revenue growth and long-term prospects. In its most recent quarter, the company said net income and revenue both grew but results fell short of expectations. Amazon's stock is down 17 percent from the beginning of the year.

Shares fell $14.79, or 4.5 percent to close at $317.01 amid a broader market sell-off. The Dow Jones Industrial Average ended the day down 267 points or 1.6 percent.

© 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. Learn more about our Privacy Policy and Terms of Use.

Join the discussion

1000|Char. 1000  Char.
JUDGE STEINBERG April 10 2014 at 7:09 PM

in any buy out the employee has the legal right to have the documents reviewed by an Attorney and to negotiate for more money and benefits.

Flag Reply +1 rate up
the london co April 11 2014 at 6:28 AM

they should get with AT and t and stream live tv through the internet-knocks out cable companies and everyone has a phone jack-they just need the phone service -then develop the rabbit ubs for in car use as wirless like tv on the go

it would be cheaper than cable-

Flag Reply +1 rate up
Carol April 10 2014 at 11:41 PM

First Amazon has to figure out how to get an order...MY order...shipped to me on time! Does it really take over 2 weeks to ship something to NJ from New York? I should have just gone to Target!!

Flag Reply +2 rate up
1 reply
cact25 Carol April 11 2014 at 3:22 AM

Or Costco.

Flag Reply 0 rate up
Danny April 10 2014 at 11:45 PM

The thing sounds good but they threaten people if they don't take the payoff to leave.
We had talked about unionizing in CHATTANOOGA,Tn known in Amazon as CHA1.
They company tried and never caught us. They pay trash wages on Chattanooga and expect you to pull a rabbit from your ass!!!!!!

Flag Reply +5 rate up
Practical Nomad April 11 2014 at 12:10 AM

Perhaps Bozo, (sorry Bezos), should consider retiring himself and his question marks? It's also unhealthy to have a CEO that doesn't respect, or is respected by employees Bozo, (sorry, there I go again - Bezos I mean).

Flag Reply +4 rate up
2 replies
LilAnnie2012 Practical Nomad April 11 2014 at 12:54 AM

Bozo, that's a good one! Ha!!!

Flag Reply +2 rate up
cact25 Practical Nomad April 11 2014 at 3:20 AM

Bozo had hair.

Flag Reply +2 rate up
LilAnnie2012 April 11 2014 at 12:44 AM

I say that because after I read that article I felt bad about being a Prime member. Thinking they make their employees be on such a rigid schedule and be in trouble if they can't be. Not cool! I'd rather not pay for that convenience! Not at the employees expense! I'm wishing that's not true but I can kindof see how it could be.

Flag Reply +1 rate up
abourge458 April 11 2014 at 5:26 AM

"Pappy, me and Clem shot down a couple more of those funny looking Quails, but they didn't taste any better than the others. All bones!"

Flag Reply +5 rate up
2 replies
papajokr abourge458 April 11 2014 at 7:00 AM

You'r another one that aol will not allow me to vote up.

Flag Reply +1 rate up
woodcutter100 abourge458 April 11 2014 at 10:05 AM

LOL

Flag Reply 0 rate up
liondog96 April 11 2014 at 5:03 AM

We don't need drones to take away jobs. There are more than 7 billion people on earth now. The turnpikes are aiming at Sunpass/E pass, ets... just to cut out human workers.

Flag Reply +6 rate up
1 reply
Doug Fordon liondog96 April 11 2014 at 7:33 AM

Huh, you see fast pass toll collecting as taking away jobs, I see it as taking away traffic. It isn't "JUST" to cut out human workers it actually speeds things up. All unskilled jobs will one day go away. If you can't be a toll collector how about repairing highway "fast pass" sensors or manufacturing the fast passes themselves or maybe even a deck job at the "fast pass" headquarters. People are so near sighted these days.

Flag Reply 0 rate up
Gracie GirL April 11 2014 at 7:19 AM

Drone delivery? Thought about it and once the terrorists know we have Drone delivery, they will develope their own drones except they will not be delivering goods from Amazon. Drones and the safety of using them has a long way to go.

Flag Reply +3 rate up
1 reply
gpat1132 Gracie GirL April 11 2014 at 8:11 AM

so did the cell phone and computer at one time ...machines will destroy mankind

Flag Reply +2 rate up
1 reply
erink91321 gpat1132 April 11 2014 at 9:45 AM

Yes, Computers have already destroyed man as we once knew. Today most highschool grads cant even do math without use of a computer. I cant wait to see what happens when a polar reversal happens and electrons flow in the opposite direction. Computers and most machinery made today that require directive electron flow will be totaly useless

Flag 0 rate up
allenseye April 11 2014 at 1:06 AM

You can check out the salaries Amazon pays their employees on Glassdoor.com. Of the 6,500 employees be sure to go down to the vast majority of employees who work in the warehouse, and not just look at the smaller percentage of computer tech jobs.

Flag Reply +1 rate up
aol~~ 1209600

Voting...

More From Our Partners