Lowe's to close 20 stores, cut 1,950 jobs
MOORESVILLE, N.C. - October 17, 2011
Ten locations were closed Sunday; the other 10 will close in a
month. They include three closings in New Hampshire and two each in
California, Illinois and Maine.
Before the closures, Lowe's operated 1,725 stores.
Lowe's, based in Mooresville, N.C., also said it will only open
10 to 15 stores in North America annually beginning in 2012.
Previously the company expected to open 30 stores per year. It will
open 25 stores this year.
Lowe's said the moves will cost it 17 cents to 20 cents per
share in its current fiscal year.
In August, Lowe's said volatile weather and shoppers' worries
about the economy hurt demand. Its net income was nearly flat in
the second quarter and the company lowered its yearly sales
forecast, saying it expected net income of $1.48 to $1.54 per share
in its fiscal year ending Feb. 3.
The company's results have been pressured as consumers continue
to stick to home renovation products under $500. In August the
company said it was closing 7 stores and eliminating 650 associated
jobs.
Its shares rose 10 cents to close Monday at $20.89.