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Tough Year For Retail: The Stores That Closed In 2017

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Tough Year For Retail: The Stores That Closed In 2017

One of the biggest retail trends throughout 2017: store closures.

What You Need To Know

A total of 6,985 store closure announcements were made throughout 2017, CNBC reported. This number may seem high — and it is — as data compiled from FGRT (formerly Fung Global Retail & Technology) shows the number of store closures spiked more than 200 percent from 2016 levels.

Here are the 10 biggest store closure announcements made in 2017, according to FGRT's data.

  • RadioShack: 1,470 stores closed.
  • Payless: 700 stores closed.
  • Rue 21: 4000 stores closed.
  • Ascena Retail Group Inc (NASDAQ: ASNA): 400 stores closed (owner of Dressbarn, Loft and Ann Taylor).
  • Sears Holdings Corp (NASDAQ: SHLD): 358 stores closed (Sears and Kmart).
  • Gymboree: 330 stores closed.
  • The Limited: 250 stores closed.
  • H.H. Gregg: 220 stores closed.
  • GameStop Corp. (NYSE: GME): 190 stores closed.
  • Bebe Stores: 180 stores closed.

Why It's Important

"Store closures are a major theme in U.S. retail, as many overspaced retailers are reacting to the migration of sales online by closing physical locations," CNBC quoted FGRT's Deborah Weinswig as saying in a recent note to clients.

What's Next?

Heading into 2018, few retail investors are expecting a reversal of the trend. 

"The guys who are maximum taxpayers at 35 percent are going to 21 percent. They save 14 percentage points," retail consultant Jan Kniffen separately told CNBC. "People who don't have the advantage, because they are bad retailers and don't make money, are going to get pounded."

Related Links:

RadioShack To Kodak; These Companies Fell From Grace The Hardest

How The Toys R Us Bankruptcy Will Be Different From KB Toys

Photo by JJBers Public/Wikimedia. 

Posted-In: CNBC Deborah Weinswig FGRT Jan Kniffen retail retailersMedia Real Estate Best of Benzinga

 

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