California (Thechieftainspear) – Advance Auto Parts is set to shut down all its remaining stores in California by mid-March as part of a major company overhaul.
The decision was initially disclosed in November through a federal WARN notice, which mandates a 60-day advance warning for employees.
As a result, over 1,600 workers will be affected as the company closes its last 137 locations in California. The closures, which started in early February, are part of a broader plan that will see more than 725 stores shut down nationwide.
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The retailer has been struggling with significant financial losses due to declining demand, as more vehicle owners delay repairs, the company stated. In the fourth quarter, Advance Auto Parts reported an operating loss of $820 million.
“Throughout 2024, we have taken major steps to reshape the company for sustainable growth and long-term profitability,” said Shane O’Kelly, Advance Auto Parts’ president and CEO.
Beyond store closures, the company’s restructuring strategy includes streamlining distribution centers, aiming to consolidate operations into 12 large hubs by the end of 2026. Additionally, it plans to launch 60 market hub locations by mid-2027 .
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