Footlocker, Macy's & Wal-Mart Closing Stores

Don't worry, retail sales were strong this past winter - wink, wink. The hits just keep coming, and coming, and coming for retail landlords. Reference earlier post, Dawn of the Dead Malls for co-tenancy clause discussion and the potential knockout punch each closure can mean for a retail landlord. Award of the day goes to Target for Target Buys Smith & Hawken Brand. On the cheap, this should be a positive move for long term merchandising as they pick up a perceived higher end home and garden brand to departmentalize their store and differentiate themselves from competition. Look for this trend to continue. They should have purchased the Circuit City name as well to create a perceived specialized destination in 10,000 sf of their stores - providing a major leg up on competition. When Sears goes under/get's bought out Kenmore & Craftsman are similar quality brands that can bring the consumer in.

Macy's To Close Five Stores

Wal-Mart to Close 10 Sam's Club Stores, Cut 1,500 Jobs

Foot Locker To Close 117 Stores

Foot Locker Inc. said it expects to close 117 stores this month and cut 120 corporate jobs as part of a plan to combine the Lady Foot Locker chain with the footwear retailer's three other brands.

The closures, affecting mostly Foot Locker and Lady Foot Locker outlets in the U.S., would bring to 190 the number of shutterings for the fiscal year ending Jan. 30. The company had 3,601 stores as of Oct. 31.

Aside from the economic downturn, the athletic apparel and footwear chain has been hurt by a longer-running fashion shift toward casual shoes and away from sneakers. Foot Locker has reacted by lowering costs, closing stores and weeding out poorly performing products.

Richard Johnson, president and chief executive of Foot Locker Europe, will take on the same role for the company's four brands, which also include Kids Foot Locker and Footaction. Lewis P. Kimble, managing director of the company's Asia/Pacific division for the past four years, has been promoted to succeed Mr. Johnson.

Foot Locker President and Chief Executive Ken. C. Hicks said the consolidation "will allow us to sharpen our focus on the female consumer, as we look to improve the coordination of our women's merchandise assortments and marketing strategies across each of our Foot Locker brands.

He said the move is a part of a "new, comprehensive strategic plan" that the company will announce in coming months.

The company expects annual savings of about $10 million and a charge of two cents a share to its fourth-quarter results.