Office Depot to close 20 percent of its US stores

odp_StoreFront

NEW YORK — Office Depot will close at least 400 U.S. stores, shedding more than 20% of the stores it now operates in the U.S. after its merger with rival OfficeMax.

The company said the stores will be closed by 2016, with 150 of the closings coming at the end of this year. Office Depot operated 1,912 stores in its North American division at the end of last year, and the OfficeMax merger added 823 stores to its lineup. The merger was completed in early November.

The company has not identified which stores it is closing.

The closings were widely anticipated since there are many locations where the two brands have stores close to one another.

There have been a number of store closings announced so far this year, as brick and mortar stores face more competition from online competitors such as Amazon.

Office Depot rival Staples announced this year it would close 225 stores in North America, or about 12% of its locations, as it moved to trim costs and respond to more of its sales being completed online.

Radio Shack also said it plans to close 1,100 stores, or 20% of its North American locations, while troubled department store chain J.C. Penney has announced plans to close 33 locations.

Some analysts are also expect that Sears Holdings could close as many as 500 Sears and Kmart locations soon.

Shares of Office Depot were up 15% after the company announced the closings as well as better than expected earnings.

8 comments

  • Highpointer

    Word is the next few years 50% of retails stores will go away. Expect to see many local and chain stores close.

  • Frank Bravo

    And the MSM and the President tell us everyday that the economy is doing fine. what a lie. People WAKE UP !! Our Government is doing nothing about it.

    • WeBuiltThisCountry

      Wal-mart and online shopping are the reason for retail decline not the president sure.Why would a consumer pay $90 for a calculator from Office Depot when you can purchase it from eBay, Amazon or Wal-mart for half the price????

      • WeBuiltThisCountry

        Hmmm a $9 calculator,must’ve been made in China so your contradicting yourself! Maybe we should go back to those 200 person assembly lines instead of 1 skilled machine operator running a Eberhard? That would really put people back to work?

      • Whoa now

        Why do I need a $90 scientific calculator, I never claimed to be a scientist. How am I contradicting myself? There aren’t jobs, people have to buy cheaper aka Wal-Mart as you mentioned (most things made in China=cheaper). No jobs=thanks to Obama. If you support him that is fine. I don’t think he is the best president we have had since I have been alive and that is my opinion. Strictly that, my opinion. Because I don’t think the way you do doesn’t make me or you a bad person.

  • Zombiekiller

    Don’t like Obama, but geez folks the jobs were not uber plentiful when Bush was around. You fools make all conservative people look dumb. I hope none of you jokers voted. I’m sure you “voted” with your opinion on Fox8. Lets hope it stays that way.

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