A massive convenience store is now closing 400 locations nationwide by the end of the year due to a painful slump in sales.
7-Eleven will be closing more than 400 underperforming stores in the U.S., its parent company said.
The 444 stores to close are among 13,000 stores the convenience chain has in the U.S. and Canada.
A list of stores to close was not released by the company, which announced the plan to shutter the stores during its most recent earnings call late last week.
The closures are expected to happen in the fourth quarter of this year.
The company said traffic and sales were challenged “as consumers pull back due to inflationary pressure” and also said industry-wide that consumer cigarette sales continue to decline.
The company announced key actions including saying it would grow its proprietary products, including fresh food and its proprietary beverages, accelerate digital and delivery, including continued growth in its loyalty program and grow and enhance its store network.
Seven & i Holdings, the parent company of 7-Eleven, also said it would bundle some of its “non-core assets” into a new holding company.
The parent company also plans to rename itself ‘7-Eleven Corp’ to emphasize the focus on its profitable convenience stores.
The Japanese operator of 7-Eleven stores is facing pressure to convince investors it can enhance value after having rejected a first bid in August by Alimentation Couche-Tard, operator of Circle K, saying it undervalued the company and its growth potential.
Its new holding company, to be called York Holdings, is set to house a total of 31 subsidiaries, including the group’s superstores business, general goods store Loft, baby goods store Akachan Honpo and the operating company of Denny’s restaurants in Japan.
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Also Read: A Famous Shoe Company Is Now Exiting Several Countries
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A massive rental company with 34k locations now shuts down its operations after filing for bankruptcy and 22 years in business.
Users of movie rental company Redbox were left saddened after it was announced that it would be shutting down operations.
The announcement comes after the rental company’s parent company, Chicken Soup for the Soul Entertainment, filed for Chapter 11 bankruptcy.
According to court documents obtained by the Washington Post, the Connecticut-based company claimed to be one billion dollars in debt.
As a result, Redbox, which was a staple of many grocery stores including Walgreens, and CVS will be shuttered.
Many fans took to social media to express how upset they were with the loss.
“I knew it was coming, sadly,” UltraVada wrote in a post on X, formerly Twitter.
“It was inevitable,” a second person mourned.
“I knew this would happen when I heard they filed for Bankruptcy but its still sad to hear. I have a lot of fun memories of Redbox,” a third person lamented.
“I still don’t think this will be or ever be the end of physical media as we do still get remasters of some movies in 4k/Bluray.”
One person revealed that they had forgotten the rental service had existed.
Some users were not surprised by the announcement.
“Not surprised since nobody really rents videos anymore with the rise of streaming and what not,” one user admitted.
“Also kinda remember getting into a feud with them on here.”
One user also pointed out that the last remaining Blockbuster, located in Bend, Oregon, managed to outlive Redbox.
Redbox was acquired by Chicken Soup for the Soul Entertainment (CSSE) in 2022 and became one of the company’s flagship video-on-demand streaming services.
At its peak, CSSE operated more than 20,000 DVD rental kiosks across the country.
The company’s filing means that the company’s more than 1,000 employees will be laid off, per The Wall Street Journal.
It was also reported by Deadline that many employees at CSSE hadn’t received their paychecks and had medical benefits cut in late June.
Also Read: This Massive Mall Retailer Is Now Closing In California
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