1. **Kohl’s Streamlines Store Fleet**: Kohl’s is cutting back store locations for 2025. The company plan to close 27 stores by year end. They also closing the e-commerce center in San Bernardino. This process plan to finish pretty fast. All stores affected should be shut by March 29, 2025. This downsizing impacts places like California and Texas. Tom Kingsbury, CEO, speaked about the decision in January. He called these steps very serious. These actions are difficult, but necessary for the business future. This adjustment helps refine operations. It builds on a long-term growth plan.
2. **Macy’s Bold New Chapter Continues**: Macy’s also making big changes to its stores. The store giant announcing it will close 66 stores in 2025. These closures part of a broader plan. It is calling this the “Bold New Chapter” strategy. This plan came out in February 2024. The comprehensive strategy means closing about 150 “underproductive” spots. Macy’s also investing into 350 other stores. These are the “go-forward” locations. The whole plan should happen by fiscal year 2026. Specific store closures include downtown Brooklyn, New York. Others closing in Florida and Pennsylvania are confirmed. This shift aims to consolidate operations. They are focusing on stores making more money.
3. **Joann Announces Complete Business Closure**: Joann, the crafts store, is closing all business. This news is a big change in retail. The company announce this on February 25. It signaling the end of their 80 years in market. All 800 Joann stores nation wide closing. It affect 49 states in the US. This follows not finding a buyer for stores. So, Joann proceeded to sell all assets. GA Group, a finance firm, buyed these assets. This finalize steps to end the business. Joann stated they are committed to an orderly process. They will work with the winner to wind down operations. This minimizes impact on all stakeholders. They appreciate their employees and customers. Thanks for their support over 80 years.
4. **Liberated Brands Faces Bankruptcy**: Liberated Brands, which manages popular skate apparel brands like Volcom, Billabong, and Quiksilver, has initiated a bankruptcy process and is set to close its stores across the United States.
They filed for Chapter 11 on February 3rd in Delaware, leading to the closure of all their US locations, as CEO Todd Hymel outlined the financial challenges behind their decision.
Competition from “fast-fashion powerhouses” was a big one. “Ongoing inflationary pressures” also hurt business. Burden of “high interest rates” was also mentioned. He said fast-fashion can quickly change. This is different from their old “seasonal trend-forecasting retail model. ” This difference mean lower profits.
Liberated also had less “pricing power. ” The bankruptcy filing mean job cuts too. Hymel said Liberated made a “difficult decision. It was to close “corporate offices. About 350 office staff lay off.
In December, approximately 1,040 employees were laid off despite the company’s revenue growing from $350 million to $422 million post-COVID-19, with their store count increasing from 67 to 140, illustrating the growing financial strain they face.
Problems with accounts payable happened. Authentic Brands Group ended licenses in December 2024. ABG still plan to sell these brands. They will use other retailers.
5. **Dollar General Closes Underperforming Stores**: Dollar General plan to close specific stores. This will happen early in 2025. The retailer shared plans in its report. This was released on March 13. The company intends closing 96 Dollar General stores total. Also, 45 of its Popshelf stores closing. All these closures scheduled for Q1 2025. This plan aims to make store spaces better. It enhancing operations. They focusing on stores doing well. Todd Vasos, CEO, commented on this choice. He sayed the review was “appropriate.” This will “further strengthen the foundation.” This follows big progress in fiscal 2024. Vasos noted closures are “less than one percent” of total stores. He think the action better serves customers. This is part of adapting to retail change.
6. **Walgreens Plans to Significantly Reduce Store Count**: Walgreens announced plans to close numerous pharmacies over the next several years, with the company revealing its intention to shutter around 1,200 stores in October.
These are stores not doing well. This large process expected over three years. Many closures planned for fiscal year 2025. Walgreens targets closing 500 stores. This by end of August 2025.
This faster pace is key phase. It optimizing stores and improve efficiency. Tim Wentworth, CEO, explained actions. Results reflected “disciplined execution. ” He mentioned managing costs and working capital.
For 2025, the focus will be on stabilizing the retail pharmacy sector by optimizing store spaces, controlling costs, and enhancing cash flow while addressing reimbursement models to ensure patient access and maintain profit margins, as Wentworth described the year as a crucial period for restructuring.
The CEO acknowledged that while the turnaround will require time, it is essential for improving their financial standing and catering to consumer needs.
7. **CVS Continues Multi-Year Closure Plan**: CVS is continuing to close stores. This part of a plan announced before. This strategy started in 2021. It means closing many stores over three years. CVS closed 300 stores in 2024. CVS not released store list for 2025. But they state their criteria. Focus is on closing locations with “redundant coverage.” Stores with “low traffic” are also targets. This helps combine services. It enhances efficiency in remaining places. This is part of a “strategic transformation.” CVS wants to expand health services offered. Store closures help this shift. It reallocates resources. They focus on health services more now. It moving toward a health-focused model.
8. **Industry Shifts: Michaels Embraces the Party Supply Market**: As store closures present opportunities, Michaels, a leading crafts retailer, is pivoting its focus towards party supplies in response to the recent shutdown of Party City.
Michaels adding many party items. They increasing range by 200 percent. This means adding over 500 new things. Items roll out starting August.
They add paper goods, accessories, and decor. A main focus is over 300 new balloon designs. These include cool items like Disco Hats. This boost their place where Party City was strong. Michaels also improving in-store party events. They using their stores for this.
In 2024 alone, Michaels hosted nearly 5,000 parties, serving 42,000 children across the US and Canada, with data indicating a significant surge in online searches for party supplies and balloons, prompting plans for more themed birthday offerings.
They refresh in-store fun with events. Stacey Shively, officer at Michaels, speaks. She stated they “committed to helping customers. This to create unforgettable celebrations.
Expansion of balloons and supplies helps. Enhanced events make it easier. Families can gather, celebrate, and be creative. Michaels has over 1,300 stores. They filling gap Party City left. This slight shift help its brand direction.
It capitalize on a market void.
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Stores Closing in the U.S. in 2025: Joann, Kohl’s, JCPenney and More Companies Facing Financial Challenges
