Parent company of Men’s Wearhouse, Jos. A. Bank to slash store footprint
Tailored Brands expects to close up to 500 stores “over time” and reduce its corporate workforce as a result of business disruptions from the COVID-19 pandemic.
The struggling men’s apparel retailer also announced its CFO is departing and that it has appointed a chief restructuring officer as it looks to get its business back on track.
The parent of Men's Wearhouse and Jos. A. Bank is implementing a series of operating and organizational changes that will result in the elimination of approximately 20% of its corporate positions by the end of the fiscal second quarter. The retailer expects to record a $6 million charge in the second quarter for severance payments and other termination costs
In addition, Tailored Brands said it has identified up to 500 retail stores for potential closure as well as opportunities to reduce and realign its store organization and supply chain infrastructure and organization “to best serve its go-forward store footprint and e-commerce business.” The company did not reveal which stores would be closed or over what time frame, only that they would be “identified over time.” The retailer currently operates more than 1,400 stores under the Men’s Wearhouse, Jos. A. Bank, K&G and Moores banners in the U.S. and Canada.
“We have safely reopened almost all of our retail stores and look forward to helping our customers look and feel their best for their moments that matter,” said Tailored Brands president and CEO Dinesh Lathi. “Unfortunately, due to the COVID-19 pandemic and its significant impact on our business, further actions are needed to help us strengthen our financial position so we can navigate our current realities.”