GNC To Close 6 Minnesota Stores
Tough days for retail outlets across the board. With the shutdowns, stay at home orders all the over pandemic chaos, it surprises me that more businesses haven't been more negatively affected.
GNC, unfortunately, has filed for Chapter 11 bankruptcy and has a reorganization plan to close a lot of stores in an effort to battle back to financial health. Eventually, GNC is looking at shutting down 800 to 1200 stores before it's all said and done.
COVID-19 created a situation where we were unable to accomplish our refinancing and the abrupt change in the operating environment had a dramatic negative impact on our business
To start, GNC will be closing down 248 stores including 6 that are Minnesota stores, according to Business Insider. Minnesota stores that are to close include Andover, Burnsville, Edina, Fairmont, St Paul and Wilmer. So far, St Cloud appears to be safe but there is sure to be more closings announced in the future.
In a letter to customers GNC stated "the best opportunity for us to continue to improve our capital structure and address certain operational issues was to restructure through a Chapter 11 reorganization. This gives us the opportunity to improve our balance sheet while continuing to advance our business strategy, right-size our corporate store portfolio, and strengthen our brands to protect the long-term sustainability of our company."
Let's hope GNC makes a rebound and is able to survive and thrive again.