Twenty-seven "underperforming" Kohl’s stores are set to shutter this spring.
The locations, named late last week by Kohl’s, will permanently close their doors by April, according to the Wisconsin-based retailer.
"While Kohl’s continues to believe in the health and strength of its profitable store base, these specific locations were underperforming stores," Kohl’s said.
As a Kohl's Rewards member, you earn 5% on every purchase, every day. (Michael Siluk/UCG/Universal Images Group / Getty Images)
The stores that Kohl’s has chosen to shutter are located in 15 states. In total, the retailer currently operates over 1,150 locations in the U.S.
"We always take these decisions very seriously," Kohl’s CEO Tom Kingsbury said of the planned store and fulfillment center closures. "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."
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Arkansas
California
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Idaho
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Virginia
Kohl’s said it has offered the affected people who work at the soon-to-shutter locations "competitive" severance or the option to apply for other Kohl’s positions.
The retailer’s planned 2025 "real estate changes" involve shuttering its San Bernardino E-commerce Fulfillment Center in California in May as well, the retailer said.
The company has "increased efficiencies with new technology capabilities at newer EFC facilities and has expanded the company’s ability to fulfill customer orders from store locations, allowing the company to maintain its ability to fulfill orders without the San Bernardino facility," it explained.
The Kohl's app allows customers a way to save coupons, see their Kohl's rewards balance and scan in-store products to determine the price. (Igor Golovniov/SOPA Images/LightRocket / Getty Images)
In a Securities and Exchange Commission filing, the retailer said it will see $60-80 million worth of pre-tax charges in connection to the "real estate and workforce rationalization" that it announced.
An activist investor is renewing a push to get department-store chain Kohl’s Inc. to take action to boost its lagging stock. (iStock / iStock)
Those charges will largely occur during the final quarter of 2024, according to Kohl’s.
In late November, the retailer said it had generated $10.21 billion in net sales over the first three quarters of 2024. That represented a decrease of over 6% compared to the same nine months in the prior year.
Its net income over the first three quarters of 2024 was $61 million.