Kohl’s announced plans to close 27 underperforming stores in 15 states by April as part of its efforts to boost profitability and improve sagging sales. The department store chain has posted 11 consecutive quarters of sales declines.
Michaels CEO Ashley Buchanan will take over as Kohl’s chief executive next week, replacing Tom Kingsbury. Kohl’s declined to disclose the number of employees affected but offered a “competitive severance package” to those impacted.
The closures are part of Kohl’s strategy to close 150 underproductive stores while upgrading its remaining 350 stores by fiscal 2026. Macy’s, another struggling department store chain, has also announced plans to close 66 stores this year.
Kohl’s sales have been declining as consumers increasingly seek out deals online. The company reported falling profit and sales in its third quarter last November, but raised sales expectations for the current fiscal year.
Source: https://triblive.com/news/wire-stories/kohls-to-close-27-stores-by-april-as-struggling-department-stores-works-to-improve-sales