Pensacola and Mobile hhgregg stores are among the 88 stores the electronics retailer which will close in the coming weeks, company officials confirmed Thursday.
Both stores opened in 2011.
The company is also closing three distribution centers located in Florida, Maryland, and Pennsylvania. The moves come as part of a renewed effort to return the company to profitability. Bloomberg reported last week that the company could file for bankruptcy protection as soon as this month.
“We are strategically exiting markets and stores that are not financially profitable for us,” said Robert J. Riesbeck, hhgregg’s President and CEO. “This is a proactive decision to streamline our store footprint in the markets where we have been, and will continue to be, important to our customers, vendor partners and communities. We feel strongly that the markets we will remain in are the right ones for our customers and our business model. Our team is dedicated to moving forward and being a profitable 132 store, multi-regional chain where we will continue to be a dominant force in appliances, electronics and home furnishings.”
A company spokesperson said Thursday that an exact closing date hasn’t been set for either the Pensacola or Mobile stores.
“The stores will remain open until current inventory is sold, which we expect will be complete within the next 5-6 weeks,” said spokesperson Chantal Kowalski.
Closure of all 88 affected stores is expected to be complete by mid-April. The closings will result in the elimination of approximately 1,500 jobs, officials said.
“I want to thank each and every manager and associate in our stores and distribution centers, and their families, for their continued efforts, contributions and support,” said Riesbeck. “I understand this is not an easy process to go through; our history has shown that our team members will meet this challenge head-on and continue to support our customers and each other through the closing process.”