Tri-Cities Area Journal of Business
www.tricitiesbusinessnews.com/articles/1892

List of closing Shopko stores grows to include Kennewick, Prosser

February 7, 2019

The Kennewick, Prosser and Walla Walla Shopko stores are scheduled to

close May 5.

The department store

announced plans to close 38 stores nationwide but the local stores weren’t on

the list when the news was announced three weeks ago. Shopko filed for Chapter

11 bankruptcy Jan. 16.

The new closure list now includes 11 Washington stores, up from the

previously released four.

Nationwide, 251 stores will be shuttered.

Those scheduled for closure in the state include: Yakima and Pullman,

closing in April; Spokane and Lacey, closing in March; and Union Gap, Wenatchee

and Quincy, closing in May.

The Prosser and Quincy stores are Shopko Hometown shops, which are

smaller than the traditional big box stores, ranging in size

from 15,000 square feet to 35,000 square feet.

“This decision is a difficult, but necessary one,” said CEO Russ

Steinhorst in a Jan. 16statement. “In a challenging retail environment, we have

had to make some very tough choices, but we are confident that by operating a

smaller and more focused store footprint, we will be able to build a stronger

Shopko that will better serve our customers, vendors, employees and other

stakeholders through this process.”

Shopko also is relocating more than 20 of its optical centers to

freestanding locations and conducting an auction for its pharmacy business.

Throughout this process, all Shopko optical centers and pharmacies remain open.

The company, which employs more than 18,000 people, said the court

filing will allow it to pay wages, salaries, benefits and to pay vendors and

suppliers.

Shopko has obtained up to $480 million debtor-in-possession financing to

help fund and protect its operations during the Chapter 11 process, according

to a company news release.

Shopko opened its first store in Green Bay, Wisconsin, in 1962. It

operates more than 360 store in 26 states.