Interesting corollary impact to the economy: Albany's largest dry cleaner has experienced a "dramatic downturn" in revenue and has filed for bankruptcy. "We're seeing clothes dirtier than they used to be," said CEO B. Robert Joel. Rising energy costs coupled with declining consumer traffic combined to create a significant shift in the business. Four of the chain's 14 locations will be closed.
store closings: December 2008 Archives
Resturant chain Ruby Tuesday is responding to a decline in sales by closing 70 stores. Forty of the outlets will close by March; others will be closed over time, and some excess property is for sale. Ruby Tuesday operates nearly 1000 restaurants overall, most of them company-owned.
KiS Golf, which operated indoor golf facilities in six states, converted from Chapter 11 to Chapter 7 bankruptcy this week and is liquidating assets. The shift in plans surprised many people, including irate customers with pricy membership plans.
Regional menswear chain S&K is closing 58 stores, 30 percent of total, and has put its headquarters up for sale as part of a restructuring plan. The company cited difficulties in the current retail economy as a major factor within a long-term initiative to cut costs.
Office Depot announced it is closing 126 stores and six distribution centers to offset declining demand in the difficult economy. The retailer is halving its planned store openings for 2009 as well, from 40 to 20.
The economic slowdown affects family-run, local businesses as much as it shakes publicly traded companies. A pair of long-time establishments announced closings this week:
- Modern Metal Products, an auto parts supplier dating to 1946, filed for Chapter 11 bankruptcy. The company expects to shut down; it found a willing buyer, but the buyer was able to arrange financing to complete a sale.
- John Wilson Sporting Goods, a Cedar Rapids-based retailer also in business since 1946, is closing its doors at the end of the year. Current economic conditions prohibit the owner from signing a new lease. Sadly, owner John Wilson is quoted as saying, "I can't see somebody wanting to start a locally-owned sporting goods store."
Women's clothing retailer B. Moss joined the list of Chapter 11 retailers with a filing Tuesday. The company, nearly 70 years old, has stores in 19 states. B. Moss hopes to begin going-out-of-business sales this weekend and close most of its 70 stores by the end of the year. A potential sale fell through earlier in the year.
Barely a month after announcing its liquidation plan, Tweeter abruptly closed all its stores effective this morning. Employees were turned away and millions of dollars of unsold goods are now in lockdown. Many consumers may have lost merchandise and deposits in the swift action as well.
This one's interesting: La Redoute, a globally distributed women's clothing retailer, is closing its website December 16. The company operates a web-and-catalog business in the United States through Redcats USA. I'm unable to find news about the closing, but the site's home page indicates a final liquidation sale (see screenshot).
Here's the "interesting": La Redoute on a corporate level is refocusing on its Internet business, with a restructuring plan that includes closing 81 outlets and ceasing its mail-order catalog. The company's online focus must not include the US market.
