The U.S. department store giant said Thursday it plans to discontinue operations in Canada, a move that will see 133 stores liquidated and affect more than 17,500 employees.
Thursday marked the end of Canadian operations for discount retailer Target Corp., which announced it was closing 133 locations in Canada and leaving the country. But the big U.S. retailer isn’t the only chain to close shop in Canada. Since summer 2014, we’ve bid adieu to a slew of others, too. Here is a list of some of the closures The Globe has reported on recently.
Target’s money-losing Canadian stores failed to turn themselves around during what experts and company watchers said was a make-or-break Christmas for the chain.
“We did not see the required step-change in our holiday performance,” Brian Cornell, Target’s chief executive, said in a press release.
The retailer launched in Canada in March 2013, rolling out 133 stores across the country. Poor sales plagued Target Canada though, as it struggled with merchandise stocking issues and perceptions about its prices being higher than what Target charged in the United States.
“We were unable to find a realistic scenario that would get Target Canada to profitability until at least 2021,” Cornell said. “Personally, this was a very difficult decision, but it was the right decision for our company.”
Target plans to exit Canada in a “fair and orderly way,” seeking court approval “to begin a liquidation process.”
Target employs roughly 17,600 workers across its stores. The chain said it plans to set $70 million aside to provide “a minimum” of 16 weeks compensation to workers affected by Thursday’s decision.