By Michael Campbell News Editor
COLONIAL HEIGHTS – In the face of stiff competition from both the brick-and-mortar and online retail threats and in an effort to shift their business efforts, electronics and appliance retailer hhgregg announced Thursday that it plans to close nearly 90 locations, including stores in the Tri-Cities and Chesterfield.
In a statement released Thursday, a company spokesperson said that the closing of 88 of their 220 stores and three distribution centers would “help the company refocus efforts on its core markets and goals to enhance customers’ experience both in-store and online.”
Among the hhgregg locations on the block for closure, their stores in Colonial Heights near Southpark Mall, along with locations in Chesterfield near Chesterfield Towne Center and their Short Pump location near Henrico’s Short Pump Town Center.
Additionally, stores in Newport News, Virginia Beach, Chesapeake, Fredericksburg, and Roanoke are slated to close in the coming weeks.
“We are strategically exiting markets and stores that are not financially profitable for us,” said Robert J. Riesbeck, hhgregg’s President and CEO. “This is a proactive decision to streamline our store footprint in the markets where we have been, and will continue to be, important to our customers, vendor partners and communities.”
The entry of hhgregg into the Virginia electronics retail market came on the heels of the departure of a Richmond retail stalwart Circuit City, who officially went out of business in January of 2009 in the midst of the Great Recession.
In 2010, hhgregg moved into a number of those former Circuit City locations in Maryland and in the commonwealth.
Riesbeck believes closing the nearly 90 locations will help steer the company in the right direction following published reports that hhgregg may be in the midst of preparing for bankruptcy after losing money over the past two fiscal years and being warned it could face delisting from the New York Stock Exchange for not meeting minimum listing price requirements.
“We feel strongly that the markets we will remain in are the right ones for our customers and our business model,” Riesbeck continued.“Our team is dedicated to moving forward and being a profitable 132 store, multi-regional chain where we will continue to be a dominant force in appliances, electronics and home furnishings.”
The company said that the closings will result in the elimination of “approximately 1,500 positions.”
The CEO noted that the decision to close stores such as the locations near Southpark Mall, Chesterfield Towne Center and Short Pump Town Center, each shopping destinations in their own right, was made with the utmost scrutiny to ensure the 61-year-old company’s future.
“We have determined that the economics of the affected locations will not allow us to achieve our overall goal of becoming a profitable company again,” Riesbeck remarked. “After scrutinizing our real estate portfolio, we have identified a number of underperforming stores, as well as store locations that are no longer strong shopping destinations due to changes in the local retail shopping landscape.”
Final store closings are expected to be finished by mid-April and current inventory inside the affected stores will be sold over the coming weeks, officials with the company confirm.
“I want to thank each and every manager and associate in our stores and distribution centers, and their families, for their continued efforts, contributions and support,” said Riesbeck. “I understand this is not an easy process to go through; our history has shown that our team members will meet this challenge head-on and continue to support our customers and each other through the closing process.”
hhgregg Store Locations Closing
|Newark, Heath, OH||Newport News, VA||Fairfax, VA|
|Fairlawn, Akron, OH||Virginia Beach, VA||Bailey’s Crossroads, Falls Church, VA|
|Trussville, AL||Chesapeake, VA||Woodbridge, VA|
|Stonecrest, Lithonia, GA||Fredericksburg, VA||Manassas, VA|
|Gwinnett, Duluth, GA||Colonial Heights, VA||Largo, MD|
|Southlake, Morrow, GA||Roanoke, VA||Waldorf, MD|
|Pembroke Pines, FL||Lower Paxon, Harrisburg, PA||Rockville, MD|
|Hialeah, FL||York, PA||Frederick, MD|
|Sawgrass, Plantation, FL||Mechanicsburg, PA||Catonsville, MD|
|Ft. Lauderdale, FL||Lancaster, PA||Hanover, MD|
|Kendall, Miami, FL||Hagerstown, MD||Bel Air, MD|
|Wellington, FL||Wilkes-Barre, PA||Towson, MD|
|West Palm Beach, FL||Dickson City, PA||Annapolis, MD|
|Boca Raton, FL||Winchester, VA||Glen Burnie, MD|
|Mt. Juliet, TN||Wyomissing, PA||Chesterfield, MO|
|Mansfield, OH||Downingtown, PA||North Hills, Pittsburgh, PA|
|Mooresville, NC||King of Prussia, Berwyn, PA||Erie, PA|
|Durham, NC||Montgomeryville, North Wales, PA||Parkersburg, Vienna, WV|
|Cary, NC||Whitman Square, Philadelphia, PA||Schaumburg, IL|
|Buckhead, Atlanta, GA||Langhorne, PA||Bloomingdale, IL|
|Asheville, NC||Whitehall, PA||Arlington Heights, IL|
|Gainesville, FL||Moorestown, NJ||Niles, IL|
|Homestead, FL||Deptford, Woodbury, NJ||Springfield, IL|
|Florida Mall, Orlando, FL||Mays Landing, NJ||Champaign, IL|
|Pensacola, FL||Newark, DE||Kenner Westgate, Metairie, LA|
|Mobile, AL||Dover, DE||Westbank, Harvey, LA|
|Aventura, FL||Wilmington, DE||Mall of Louisiana, Baton Rouge, LA|
|Pinecrest, FL||Springfield, VA||Tri-County, Springdale, OH|
|Short Pump, Henrico, VA||Sterling, VA||Treasure Coast Mall, Jensen Beach, FL|
|Chesterfield, Midlothian, VA|
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