Kohl's Announces Select Real Estate Changes
San Bernardino E-commerce Distribution Center will close at end of lease term in May 2025
27 Kohl's stores in underperforming locations will close by April 2025
Kohl’s announced real estate changes for 2025, including the closure of its San Bernardino E-commerce Fulfillment Center (EFC) in May when the lease on that facility expires, and the closure of 27 underperforming stores, by April 2025.
The San Bernardino, Calif. facility has been in operation for Kohl's since 2010. It is one of 15 EFCs and Distribution Centers in Kohl's supply chain network across the country. In recent years, Kohl's has increased efficiencies with new technology capabilities at newer EFC facilities and has expanded the company's ability to fulfill customer orders from store locations, allowing the company to maintain its ability to fulfill orders without the San Bernardino facility.
Additionally, Kohl's announced plans to close 27 stores, as listed below, of its more than 1,150 locations. The closures will occur by April 2025. While Kohl's continues to believe in the health and strength of its profitable store base, these specific locations were underperforming stores.
All associates have been informed, and offered a competitive severance package or the ability to apply to other open roles at Kohl's. Kohl's thanks our associates for their work and is working to support our associates during this transition.
"We always take these decisions very seriously," said Tom Kingsbury, Kohl’s chief executive officer. "As we continue to build on our long-term growth strategy, it is important that we also take difficult but necessary actions to support the health and future of our business for our customers and our teams."
Cautionary Statement Regarding Forward-Looking Information
This article contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “believes,” “anticipates,” “plans,” “may,” “intends,” “will,” “should,” “expects" and similar expressions are intended to identify forward-looking statements. Forward-looking statements are based on management’s then current views and assumptions and, as a result, are subject to certain risks and uncertainties, which could cause the Company’s actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, risks described more fully in Item 1A in the Company’s Annual Report on Form 10-K, which are expressly incorporated herein by reference, and other factors as may periodically be described in the Company’s filings with the SEC. Forward-looking statements relate to the date initially made, and Kohl’s undertakes no obligation to update them.
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