Lauren Leach: WWD Viewpoint: It’s the Holidays…Again – Yahoo
Lauren Leach was featured in Yahoo‘s article titled “WWD Viewpoint: It’s the Holidays…Again.”
Lauren Leach, a member in Conway MacKenzie’s Real Estate industry vertical, said in a recent report that in 2017 there were a record 8,000 store closures — well above the annual average of about 2,000 (companies typically open and close stores throughout the year, based on performance). She cited the impact of Amazon and the changes in the “delivery infrastructure” as a cause for concern for why store closures will continue. So far this year, there have been over 3,200 closures, according to WWD reports.
“However, not all retailers are going out of business due to the shift toward online sales; some have simply fallen victim to bad business practices and acquired too much debt,” Leach said in her report, adding that some notable failures this year include the bankruptcies of Sears Holdings Inc., Mattress Firm and Nine West Holdings as well as The Bon-Ton Stores, Toys ‘R’ Us and Tops Markets.
For Leach, the companies that are in a vulnerable position heading into 2019 include Sun Pacific Holding Corp., Vince Holding Corp., J. Crew, Neiman Marcus, J.C. Penney, GNC and 99 Cents Only stores, among others. In particular, Leach noted the debt loads for J. Crew ($1.7 billion). Neiman Marcus ($4.8 billion) and J.C. Penney ($4.2 billion) as troublesome.