(WMC) - Memphis-based retailer Fred's announced Thursday it will close 60 of its stores. The stores that will close are those that do not include pharmacies and are not meeting operational performance goals.
In its second quarter report, Fred's revealed a net loss of $16.4 million for the quarter. In response, the company is "implementing several key operational changes."
Here is a list of those changes:
- Addressing low-productive inventory that does not fit Fred's go-forward store model
- The closing of 60 stores that have no pharmacies and do not meet operational performance targets
- Supply chain and operational improvements at stores to improve productivity and remove costs associated with excessive inventory
- Expanded general merchandise product sourcing capabilities
- The transition to a new pharmacy prime vendor agreement with Cardinal Health
Specific details about which stores will close were not available in the report.
To see Fred's second quarter report, click here: http://ftpcontent4.worldnow.com/wmctv/fredsreport.pdf