Money & Banking
Target to close up to 75 stores across Australia
More than half of Target and Target Country stores across Australia will be shut or converted to Kmart sites in a massive restructure.
The retailer’s owner Wesfarmers said up to 167 locations will either be converted or shut in a move that could see more than half of Target’s 284 outlets gone.
The company will close between 10 and 25 large format Target stores along with 50 small format Target Country stores.
Up to 40 large format Target stores and about 52 remaining Target Country stores will be converted to Kmarts.
The news came as the company unveiled $780 million of writedowns on its Kmart Group and industrial and safety division.
Wesfarmers told the ABC it expects between 1,000 and 1,300 job losses over the next 12 months as a result of the closures.
“For some time now, the retail sector has seen significant structural change and disruption, and we expect this trend to continue,” managing director Rob Scott said.
“With the exception of Target, Wesfarmers’ retail businesses are well-positioned to respond to the changes in consumer behaviour and competition associated with this disruption.
“The actions announced reflect our continued focus on investing in Kmart, a business with a compelling customer offer and strong competitive advantages, while also improving the viability of Target by addressing some of its structural challenges by simplifying the business model.”
Join our community of over 400,000-plus members today and get the latest Over60 news, offers and articles.
Get all the latest Over60 news, offers and articles.