Amid a restructuring of the company aimed to boost sales, Lowe's Home Improvement announced today that it would close 51 "underperforming" stores in the USA and Canada. (NYSE: LOW) today announced the wind-down of certain underperforming store locations as part of its ongoing strategic reassessment.
An accompanying news release describes the 51 locations, 20 of them in the USA, as "underperforming".
It says most of the impacted stores will close by February 1, 2019.
Most of the locations are said to be within 10 miles of another store.
Employees at the stores will be provided opportunities to transition to similar roles at another Lowe's store nearby.
Winder says Lowe's is facing a formidable challenger in Home Depot, which expanded to Canada first and as such got a real head start in winning over contractors who remain loyal to it.
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 retailer will attempt to relocate employees to nearby stores. He likes Ellison's willingness to act quickly, and while we'll get more details at the company's investor day next month, he believes that Lowe's multiyear turnaround is "still in the early innings".
MOORESVILLE, N.C. - Lowe's Companies, Inc. Twenty U.S. stores are also be closing.
News of the most recent closures caused Lowe's stock to increase by 48 cents to $97.29 as of this afternoon.
Ellison has also initiated some major shakeups in the company's executive leadership ranks.
"This is a lesson that does not want to be repeated by other retailers", McKinney said.