Search
 

Office Depot To Close 9% of Its Stores

DELRAY BEACH, FL-The office-supplies retailer will close 112 retail stores and six distribution facilities throughout North America.

By Crystal Proenza | Updated on December 10, 2008

(Crystal Proenza is associate editor of Real Estate Florida.)

DELRAY BEACH, FL-Locally based Office Depot Inc. has announced that it will close 112 underperforming retail stores and six distribution facilities throughout North America over the next three months. The closings account for approximately 9% of its retail locations, with an additional 14 stores to close in 2009 as leases expire. The office furniture company will be left with 1,163 stores and 27 distribution facilities in North America. Approximately 2,200 jobs, or 4.5% of its workforce will be cut, according to Bloomberg News. The closings are expected to add $90 million to pre-tax earnings in 2009.

“Just like many companies, Office Depot is faced with conducting business in an extremely challenging economic environment so we need to be constantly reviewing our assets and store base,” Melissa Perlman, a spokesperson for Office Depot, tells GlobeSt.com. “The decision for the closings was part of a strategic review of underperforming stores or stores in locations that are no longer a strategic fit for the company.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.