Home improvement retailer Lowe's is closing more than 50 underperforming stores as part of an "ongoing strategic reassessment", the retailer announced in a statement on Monday. The majority of the impacted stores are located within 10 miles of another Lowe's store. Lowe's brought most OSH stores out of bankruptcy in 2013 following their spinoff from Sears Holdings Corp., as James Rufus Koren reports for the Los Angeles Times.
Some U.S. stores will close immediately, though Lowe's did not immediately announce those locations. Lowe's said they would try to find jobs for displaced workers at nearby Lowe's locations if they can. Sigman noted that the stores set to close may have been hurt by their proximity to Home Depot stores and other Lowe's stores. The company will also be closing 31 Canadian stores and other locations.
Lowe's just opened its first home improvement store in Winnipeg in February in the Linden Ridge Shopping Centre on Kenaston Boulevard.
Lowe's reported revenues of $68.6 billion in its previous fiscal year, while rival Home Depot reported more than $100 billion in sales in its last fiscal year, ending on January 28, 2018.
Lowe's is closing 51 North American locations, including its Gurnee store. Analysts anticipate the new chief executive officer, Marvin Ellison, who took the reins in July, will make more organizational changes in the coming months. The priority for Lowe's right now, he said, is improving basic "retail fundamentals".