Victoria's Secret closing more than 50 stores
- Author: Darren Santiago Mar 02, 2019,
Mar 02, 2019, 0:40
Dozens of Victoria Secret stores in North America are facing foreclosure, following the lingerie chain's recent poor financial performance.
Gap said Thursday that it would close 230 namesake stores in the next two years, as it reported that the brand's same-store sales fell 7% during the holiday quarter. The former president of Tory Burch, John Mehas was finally installed at Victoria's Secret Lingerie this year, along with a new brand head at PINK.
The impending closings are far more than the 15 stores the brand closes on average every year.
The company cites a decline in overall performance as the main reason for store closures.
The hard holiday period and planned store closures are the latest turmoil for the brand.
All of the closures will be in North America, and will see their actual square footage shrink by 3 per cent.
Pakistan shoots down two Indian aircraft
Pakistan denied there had been casualties but warned that it will respond to what it called Indian "aggression". The Indian Ministry of External Affairs (MEA) on Wednesday said a MiG 21 was shot down and its pilot is missing.
L Brands operates 2,943 company-owned specialty stores in the United States, Canada, the United Kingdom and Greater China.
Shares of L Brands, which also owns Bath & Body Works, closed Thursday's session down 4.6 percent, after falling as much as 8.9 percent during the day. "The outlook illustrates that the lingerie-sales struggle will persist until the retailer finds a way to reconnect with shoppers on price, product and image", said Bloomberg Intelligence analysts Poonam Goyal and Morgan Tarrant.
The company did not rule out ending the fashion show or using more inclusive marketing.
Earlier in the day, JCPenney said it would close 27 stores in 2019, including 18 full-line department stores and 9 home and furniture stores.
'People identify Victoria's Secret with what it's been for the last 20 years - very sexy and airbrushed models, ' said investment analyst Janine Stitcher.