Obama’s “Recovery”: Sears, J.C. Penney, Barnes & Noble and Best Buy to Close Hundreds of Stores

best buy closedIt is the time of year again when America’s largest retailers release those critical holiday season figures and disclose their annual sales.

A review of these numbers tells us a great deal about how most of the companies will do in the upcoming year.

And while successful retailers in 2012 may add stores this year, those that have performed very poorly may have to cut locations during 2013 to improve margins or reverse losses.

For many retailers, the sales situation is so bad that it is not a question of whether they will cut stores, but when and how many.

Most recently, Barnes & Noble Inc. decided it had too many stores to maintain profits. Its CEO recently said he plans to close as many as a third of the company’s locations.

Currently, the best example of a struggling retailer is J.C. Penney Co. Inc. The department store chain’s third-quarter revenue dropped more than 26 percent year-over-year, and its same-store sales fell by about the same.

With J.C. Penney’s e-commerce sales slipping by an ever greater amount, it was left with nowhere to go for bottom line improvement other than deep cost cuts.

These are the retailers that will close the most stores in 2013:

1.)  Best Buy

2.) Barnes & Noble

3.)  Sears

4.)  J.C. Penney

These forecasts were based on drops in same-store sales, drops in revenue, a review of direct competitors, Internet sales and the size of cuts at retailers in the same sector, if those were available.

From:  http://www.nbcnews.com/business/4-retailers-likely-close-stores-year-1B8170146

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