Housewares maker Lifetime Brands will close 30 “underperforming” outlet stores in the United States.
The company will close 27 Farberware outlet retail stores and three Pfaltzgraff factory stores, all of which were projected to generate losses on an annual basis, the company said.
Lifetime Brands has entered into an agreement with Gordon Brothers Retail Partners to manage and operate inventory clearance sales at those locations, which will begin today.
The company estimates it will record pre-tax charges related to the store closings of up to $2 million.
“While we are very pleased with the progress that our Direct to Consumer management team has made in revitalizing our retail stores, we determined that certain locations do not have the potential to show meaningful profits and should be closed,” said Jeffrey Siegel, Lifetime’s chairman, president and CEO.
In other company news, Lifetime Brands confirmed the previously announced sale of its headquarters in Westbury, N.Y. Net proceeds from the sale were $8.8 million.
Lifetime Brands is a designer, developer and marketer of housewares under names including KitchenAid, Cuisinart, Towle and several others.