Estimated read time: 2-3 minutes
- Kohl's is closing 27 underperforming stores, including one in Riverton, Utah.
- The closures are part of a strategy to improve profitability amid declining sales.
- Outgoing CEO Tom Kingsbury emphasizes the importance of difficult decisions for future growth.
NEW YORK — Kohl's is closing 27 stores across more than a dozen states as the struggling retailer looks to improve profitability.
The closures, to be completed by April, are a small fraction of the chain's 1,150 stores and were listed as "underperforming," according to a press release. Kohl's said it "continues to believe in the health and strength of its profitable store base."
It's one of the last decisions made by outgoing CEO Tom Kingsbury, who is stepping down Wednesday and being replaced next week by Ashley Buchanan, the chief executive of arts and crafts chain Michaels. Kingsbury will stay on as an adviser to Buchanan and on the company's board until his retirement in May.
"We always take these decisions very seriously," Kingsbury said in the release. "As we continue to build on our long-term growth strategy, it is important that we also take difficult but necessary actions to support the health and future of our business for our customers and our teams."
Like many department stores in recent years, Kohl's has spent the last few years in turmoil and has struggled to recover from shifting consumer behavior. And it doesn't anticipate that it had a robust holiday shopping season, with the retailer recently forecasting a larger drop in sales than previously expected. Kohl's stock has fallen nearly 40% over the past six months.
In 2022, the company was engaged in a messy battle with activist investors who tried to push Kohl's to spin off its online business, sell its real estate or take the company private. The retailer also dropped exploring a sale in 2022.
Kohl's closures come on the heels of Macy's announcing similar news last week. Macy's targeted 66 locations to shut down in the coming weeks as it also struggles attracting shoppers amid inflationary pressure.
These are the locations Kohl's plans on closing:
Alabama
21000 Town Center Ave. (Spanish Fort)
Arkansas
13909 Chenal Pkwy (Little Rock)
California
5505 Balboa Ave. (San Diego)
134 N. El Camino Real (Encinitas)
43782 Christy St. (Fremont)
350 Showers Dr. (Mountain View)
1116 1st St. (Napa)
4525 Rosewood Dr. (Pleasanton)
1896 Arden Way (Sacramento)
5010 Northgate Dr. (San Rafael)
205 Madonna Rd. (San Luis Obispo)
8739 S. Sepulveda Blvd. (Westchester)
Colorado
6584 S. Parker Rd. (Aurora)
Georgia
2050 W. Liddell Rd. (Duluth)
Idaho
400 N. Milwaukee St. (Boise)
Illinois
11860 S. Route 59 (Plainfield)
3000 Spring Hill Ring Rd. (West Dundee)
Massachusetts
501 Technology Center Dr. (Stoughton)
New Jersey
72 Princeton Hightstown Rd. (East Windsor)
Ohio
4150 Hunt Rd. (Blue Ash)
100 Cincinnati Mills Dr. (Cincinnati)
Oregon
10010 NE. Halsey St. (Portland)
Pennsylvania
351 W. Schuylkill Rd. (Pottstown)
Texas
18224 Preston Rd. (Dallas)
Utah
13319 S. 3600 W. Suite 13LOT (Riverton)
Virginia
2100 Centreville Rd. (Herndon)
100 Gristmill Plaza (Williamsburg)
