Friday, November 21, 2008

Store Closings and Layoffs

Holiday shoppers should be very careful when giving store brand gift certificates or gift cards this holiday season. If you already have a gift card or certificate use them or they may become useful only as a collector’s item!

Ann Taylor: Closing 117 stores nationwide. A company spokeswoman said the company hasn’t revealed which stores will be shuttered. It will let the stores that will close this fiscal year know over the next month.

Eddie Bauer: Will close even more stores. Eddie Bauer has already closed 27 shops in the first quarter and plans to close up to two more outlet stores by the end of the year.

Cache: Women's retailer Cache announced that it is closing 20 to 23 stores this year.

Lane Bryant, Fashion Bug, Catherine’s: Closing 150 stores nationwide. The owner of retailers Lane Bryant, Fashion Bug, Catherine's Plus Sizes will close about 150 under performing stores this year. The company hasn't provided a list of specific store closures and can't say when it will offer that info, a spokesperson said.

Talbots, J. Jill: Closing stores. About a month ago, Talbot's announced that it will be shuttering all 78 of its kids and men's stores. Now the company says it will close another 22 under performing stores. The 22 stores will be a mix of Talbot's women's and J. Jill, another chain it owns. The closures will occur thisfiscal year, according to a company press release.

Gap Inc.: Closing 85 stores. In addition to its namesake chain, Gap also owns Old Navy and Banana Republic. The company said the closures - all planned for fiscal 2008 - will be weighted toward the Gap brand.

Foot Locker: Closing 140 stores. In the company press release and during its conference call with analysts today, it did not specify where the future store closures - all planned in fiscal 2008 – will be. The company could not be immediately reached for comment.

Wickes: Going out of business. Wickes Furniture is going out of business and closing all of its stores. Wickes, a 37-year-old retailer that targets middle-income customers, filed for bankruptcy protection last month.

Levitz/Bombay: Closed already. The furniture retailer first announced it was going out of business and closing all 76 of its stores in December. The retailer dates back to 1910 when Richard Levitz opened his first furniture store in Lebanon, PA. In the 1960's, the warehouse/showroom concept brought Levitz to the forefront of the furniture industry. The local Levitz closures will follow the shutdown of Bombay. Bombay’s online storefront has discontinued operations.

Zales, Piercing Pagoda: The owner of Zales and Piercing Pagoda previously said it plans to close 82 stores by July 31. Today, it announced that it is closing another 23 underperforming stores. The company said it's not providing a list of specific store closures. Of the 105 locations planned for closure, 50are kiosks and 55 are stores.

Disney Store: The owner has the right to close 98 stores. The Walt Disney Company announced it acquired about 220 Disney Stores from subsidiaries of The Children's Place Retail Stores. The exact number of stores acquired will depend on negotiations with landlords. Those subsidiaries of Children's Place filed for bankruptcy protection in late March. Walt Disney said it has also obtained the right to close about 98 Disney Stores in the U.S. The press release didn't list those stores.

Home Depot: The Home Depot, Inc. announced that it is shuttering 15 stores amid a slumping U.S. economy and housing market. The move will affect 1,300 employees. It is the first time the world's largest home improvement store chain has ever closed a flagship store for performance reasons. Its shares rose almost 5 percent. The Atlanta-based company said the under performing U.S. stores being closed represent less than 1 percent of its existing stores. They will be shuttered within the next two months.

CompUSA (CLOSED): Any extended warranties purchased for products through CompUSA will be honored by a third-party provider, Assurant Solutions. Gift cards, rain checks, and rebates purchased prior to December 12 can be redeemed at any time during the final sale. For those who have a gadget currently in for service with CompUSA, the repair will be completed and the gadget will be returned to owners.

Macy's: Closing 9 stores.

Pep Boys: Closing 33 stores.

Sprint Nextel: Closing 125 retail locations. New Sprint Nextel CEO Dan Hesse appears to have inherited a company bleeding subscribers by the thousands, and will now officially be dropping the ax on 4,000 employees and 125 retail locations. Amid the loss of 639,000 postpaid customers in the fourth quarter, Sprint will be cutting a total of 6.7% of its work force (following the 5,000 layoffs last year) and 8% of company-owned brick-and-mortar stores, while remaining mute on other rumors that it will consolidate its headquarters in Kansas.

J.C. Penney, Lowe's and Office Depot: Scaling back.

Ethan Allen Interiors: The company announced plans to close 12 of 300+ stores in an effort to cut costs.Wilsons Leather: Closing 158 storesPacific Sunwear: Will close its 154 Demo stores after a review of strategic alternatives for the urban-apparel brand. Seventy-four under performing Demo stores closed last May.

Sharper Image: The company recently filed for bankruptcy protection and announced that 90 of its 184 stores are closing. The retailer will still operate 94 stores to pay off debts, but 90 of these stores have performed poorly and also may close.

KB Toys: Posted a list of 356 stores that it is closing around the United States as part of its bankruptcy reorganization. To see the list of store closings, go to the KB Toys Information web site, and click on Press Information.

Dillard's: Closing more Stores. Dillard's Inc. said it will continue to focus on closing under performing stores, reducing expenses and improving its merchandise in 2008. At the company's annual shareholder meeting, CEO William Dillard II said the company will close another six under performing stores this year.

No comments: