Home Depot announces store closings, fewer openings in fiscal year

ATLANTA The Home Depot today announced that it plans to close 15 underperforming stores and said that it will no longer pursue the opening of approximately 50 U.S. stores.

However, the company reiterated its intention to open 55 new stores, which include 36 U.S. stores.

The 15 stores that will close represent less than 1% of the company's store portfolio, but will impact approximately 1,300 associates. The company stated it will provide store managers and assistant store managers with positions elsewhere in the organization and will work to place the remainder of associates in comparable positions at other stores.

"Closing a store is always a difficult decision because it affects both our people and our communities," said chairman and ceo Frank Blake. "But, as with our decision to slow future store growth, this is the right decision and will bring long-term benefits to our associates and to our shareholders. ... By building fewer stores, in the best locations, and making sure our existing stores are profitable, our company will be in a much stronger competitive position."