Victoria’s Secret To Close 250 Stores Across US and Canada
The fantasy may be coming to an end. Victoria’s Secret is planning to permanently close approximately 250 stores in the U.S. and Canada in 2020,
The announcement was made by L. Brands, who owns both Victoria's Secret and Bath & Body Work, on Wednesday. Victoria's Secret has 1100 stores in the U.S. and Canada.
The announcement comes after falling sales with the lingerie stores. CNBC reported that net sales decreased 37% to $1.65 billion from $2.63 billion just a year ago .Interim Victoria’s Secret CEO Stuart Burgdoerfer hinted that this may just be the beginning of the closures. He said that "the store closures were an appropriate decision and could strengthen the business" and said "the closings would occur over the next several months and additional closings were anticipated." The company looks to strengthen their online business as well, which has been depended on highly durning the COVID-19 pandemic.
It was just within the month the L. Brands stopped the sale of Victoria’s Secret to Sycamore Partner after the firm had filed a lawsuit in April to get out of the deal. That sale was set in motion back in February before the conronavius pandemic shut down the country and kept shoppers at home.
In addition to their Victoria's Secret stores, L. Brand will be closing 50 of their 1700 Bath & Body Works stores. Most of those will be in mall locations where it doesn't expect to regain the heavy shopping traffic they had pre-pandemic.
Victoria's Secret has 29 stores in Michigan, with 2 in the area, Genesee Valley Center and Great Lakes Crossing. Bath & Body Works has a location at both Genesee Valley Center and Courtland Center.
No word yet on which stores will be closed or if any locally will be loss. Most stores for both brands are currently closed due to COVID-19.