99 Cents Only stores to shutdown all stores including 44 in Texas
The retailer has a dozen stores in Dallas-Fort Worth. Closing sales start Friday. Discount retailer 99 Cents Only Stores has announced it will shut down all 371 stores in Arizona, California Nevada and Texas, including 44 in Texas. Most of the stores are located in California, where the retailer is headquartered. The retailer has an agreement with Hilco Global to begin liquidating merchandise, furnishings and equipment starting Friday. The decision to shut down follows Dollar Tree's announcement that it will close about 1,000 Family Dollar and Dollar Tree stores to improve profitability. The company has appointed Alvarez & Marsal managing director Chris Wells as chief restructuring officer, while interim CEO Mike Simoncic will step down.
Published : 4 weeks ago by Maria Halkias in Business
Discount retailer 99 Cents Only Stores said Thursday that it has hired a liquidator to wind down operations at all 371 stores in Arizona, California Nevada and Texas.
Most of the retailer’s stores are in California where it is headquartered in City of Commerce. The retailer has an agreement with Hilco Global to start liquidating merchandise, furnishings and equipment starting Friday.
99 Cents Only has 44 stores in Texas including 12 in Dallas-Fort Worth.
Four of the stores are in Dallas, two each in Fort Worth and Garland. Arlington, Colleyville, Duncanville and Mesquite have one store each. The retailer has a big concentration of more than 20 stores in the Houston area.
The retailer, which has been in business since 1982, said in a press release that the decision to shut down came “after extensive analysis of all available and credible alternatives to identify a solution.”
“This was an extremely difficult decision and is not the outcome we expected or hoped to achieve,” said Mike Simoncic, interim CEO and managing director at Alvarez & Marsal.
Bloomberg News reported last week that the company was considering a bankruptcy filing. The decision to liquidate follows Dollar Tree’s announcement last month that it will close about 1,000 Family Dollar and Dollar Tree stores to improve profitability.
“Unfortunately, the last several years have presented significant and lasting challenges in the retail environment,” Simoncic said, “including the unprecedented impact of the COVID-19 pandemic, shifting consumer demand, rising levels of shrink, persistent inflationary pressures and other macroeconomic headwinds, all of which have greatly hindered the company’s ability to operate.”
99 Cents has appointed Alvarez & Marsal managing director Chris Wells as chief restructuring officer, while Simoncic, will step down.
99 Cents Only specialized in brand name closeouts, party goods and cleaning supplies. Many stores sold beer and wine, snacks, beauty and home goods.
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