The struggles of discount retailer Fred’s are deepening, with the Memphis-based company announcing Friday another round of store closures.
Having already announced the shuttering of 303 stores so far this year, Fred’s said another 129 stores would be closing for good.
This round of closures included locations in Baldwyn, Fulton, Iuka, New Albany and Saltillo.
After this set of store closings, Fred’s will have 80 stores, most of which will be served by it’s distribution center in Dublin, Georgia, according to the Memphis Business Journal. Freds may “evaluate relaunching certain closed stores in the future under a new operating model, with an updated assortment.”
“While it is never easy to make decisions that impact our valued employees and customers, this initiative represents another necessary step in our continued efforts to stabilize our business by simplifying our store portfolio and product assortment,” said company CEO Joseph Anto in a statement.
Last September, Fred’s agreed to sell its pharmacy patient prescription files and related pharmacy inventory of some 180 stores in 10 southeastern states to Walgreens for $165 million. Fred’s said it “continues to pursue the sale of its remaining pharmacy locations and opportunities to monetize pieces of its real estate portfolio,” according to the news release.
The Memphis Business Journal also reported Fred’s recently sold its Memphis headquarters and warehouse to Montreal-based Olymbec for $8.25 million.