Credited from: CBSNEWS
Kohl’s, a prominent department store chain, has announced its decision to close 27 underperforming locations across various states in the U.S. in a bid to enhance profitability and adapt to the changing retail landscape. This move follows a consistent downturn in sales, with the company reporting a nearly 9% decline in net sales for the third quarter compared to the previous year, amounting to around $3.5 billion as revealed in its November report. Additionally, Kohl’s registered a net income of only $22 million, down from $59 million from the same quarter in 2022, indicating ongoing financial strains amidst a difficult retail environment.
The closures will complete by April and form a minimal portion of the chain's over 1,150 stores. According to a spokesperson, while Kohl’s maintains confidence in the viability of its profitable stores, the targeted locations have been identified as consistently underperforming. Affected employees will have the option of severance pay or the possibility to transition to other stores within the retailer's network [source](https://www.cbsnews.com/news/kohls-store-closures-list/).
Kohl's is also set to close its E-commerce Fulfillment Center in San Bernardino by May, as it shifts to fulfilling more online orders directly from its stores, a strategy reflecting broader changes in retail logistics driven by technological advancements. This decision aligns with trends seen across the sector, where major retailers like Macy’s recently announced the closure of 66 stores due to similar struggles to attract customers amidst economic pressures, including inflation [source](https://edition.cnn.com/2025/01/13/business/kohls-store-closures-list/index.html).
The list of Kohl's closing locations spans across multiple states, including Alabama, California, and Texas, with specific addresses provided in the company’s announcement. This closure strategy underscores the difficulties faced by traditional brick-and-mortar retailers who are increasingly pivoting to streamline operations while responding to fluctuations in consumer behavior [source](https://edition.cnn.com/2025/01/13/business/kohls-store-closures-list/index.html).