还没有来得及逛就关门了。
Target Canada is closing up shop. Target said Thursday that it will begin winding down its Canadian operations, which include 133 stores that employ 17,600 people.
The Minneapolis-based company said it reviewed its Canadian subsidiary's performance and concluded that it would not be profitable until 2021.
"This was a very difficult decision, but it was the right decision for our company," said Target CEO Brian Cornell.
The second-largest U.S. retail chain, Target (TGT) has struggled in the Canadian market for years. The company expects to report a loss of about $5.4 billion in the fourth quarter, driven largely by Target Canada's poor performance.
Despite its problems in Canada, Target's U.S. business remains strong. Target said U.S. sales and earnings will be better than expected in the fourth quarter, thanks to strong holiday sales and online shopping.
Related: Inside America's dead malls
The retailer said closing its Canadian stores will increase earnings in the current fiscal year, and boost its cash flow in the years ahead.
Target Canada had been counting on a strong holiday season to help turn things around, but that did not materialize, said Cornell.
Target said later Thursday morning that a Canadian high court has approved its plan to begin winding down the business. The court order authorizes $175 million in bankruptcy financing and $59 million in funding for employee severance.
Related: Time is running out for RadioShack
Overall, Target expects to pay between $500 million and $600 million to end its Canadian business. It says it has the cash to do so.
The Canadian stores will remain open during the liquidation process.
"There is no doubt that the next several weeks will be difficult, but we will make every effort to handle our exit in an appropriate and orderly way," he said.
Target Canada is closing up shop. Target said Thursday that it will begin winding down its Canadian operations, which include 133 stores that employ 17,600 people.
The Minneapolis-based company said it reviewed its Canadian subsidiary's performance and concluded that it would not be profitable until 2021.
"This was a very difficult decision, but it was the right decision for our company," said Target CEO Brian Cornell.
The second-largest U.S. retail chain, Target (TGT) has struggled in the Canadian market for years. The company expects to report a loss of about $5.4 billion in the fourth quarter, driven largely by Target Canada's poor performance.
Despite its problems in Canada, Target's U.S. business remains strong. Target said U.S. sales and earnings will be better than expected in the fourth quarter, thanks to strong holiday sales and online shopping.
Related: Inside America's dead malls
The retailer said closing its Canadian stores will increase earnings in the current fiscal year, and boost its cash flow in the years ahead.
Target Canada had been counting on a strong holiday season to help turn things around, but that did not materialize, said Cornell.
Target said later Thursday morning that a Canadian high court has approved its plan to begin winding down the business. The court order authorizes $175 million in bankruptcy financing and $59 million in funding for employee severance.
Related: Time is running out for RadioShack
Overall, Target expects to pay between $500 million and $600 million to end its Canadian business. It says it has the cash to do so.
The Canadian stores will remain open during the liquidation process.
"There is no doubt that the next several weeks will be difficult, but we will make every effort to handle our exit in an appropriate and orderly way," he said.
