Destination Maternity Corp. plans to close hundreds of stores in the coming years and trim the size of many others as part of a turnaround plan, new CEO Marla Ryan said Thursday on a conference call with investors.
The Moorestown, N.J., clothing retailer intends to close between 42 and 67 stores and leased shops by the end of next year and projects shuttering a total of 240 to 280 stores and leased shops by 2022. The company has a total of 480 stores and 634 leased shops in department and baby specialty stores, according to its most recent quarterly report. That means the cuts would equal a quarter of all its stores.
According to the Courier-Post, the moves are part of a larger plan for the struggling company to reduce brick-and-mortar expenses while boosting online sales.
Ryan became CEO of the maternity apparel designer and retailer in May after a proxy battle. She is the fourth leader the company has had in the span of a year.
For more on Destination Maternity Corp.'s future store closings, click here.
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