Jones New York to close its 36 Canadian stores
Jones New York is the latest casualty of the women's apparel industry, announcing it will close its 127 retail stores, including 36 in Canada.
The fashion and career wear clothing company is also discontinuing its wholesale business but said it would consider alternatives for continuing the clothing line. It did not say how many people would be laid off.
The privately held company said it decided on the move after a review of the brand's recent performance and outlook.
"We recognize that the Jones New York brand is important to many loyal customers and we are pursuing strategic alternatives for the brand," interim CEO Andrew Hede said in a news release, without giving details.
Jones New York owner The Jones Group Inc. was acquired by private equity firm Sycamore Partners last year as part of a $1.2-billion deal, or $2.2 billion including debt.
A company spokeswoman said closings of the retail stores would begin in the summer and wind up by the end of the 2015.
The women's apparel market, already competitive, has become increasingly brutal over the last few years.
In 2014, longtime Canadian fashion chain Jacob was forced to fold, and Reitman's recently restructured, ending its Smart Set brand. Mexx Canada is to close by the end of February.
