Kohl's to Close 27 Stores in Restructuring

Kohl's Announces Closure of 27 Stores Amid Restructuring Efforts

March 27, 2025

MENOMONEE FALLS, Wis. — Kohl's Corporation revealed plans to shutter 27 underperforming stores across the U.S. as part of a broader strategy to streamline operations and improve profitability. The decision comes amid ongoing challenges in the retail sector, including shifting consumer habits and increased competition from e-commerce giants.

In a statement released Wednesday, Kohl's CEO Tom Kingsbury acknowledged the difficult move but emphasized the necessity of optimizing the company's store footprint. 'After a thorough review, we identified locations that no longer meet our financial goals,' Kingsbury said. 'This step allows us to focus on high-performing stores and invest in our long-term growth, including digital expansion and enhanced customer experiences.'

Which Stores Are Closing?

While Kohl's has not yet released a full list of affected locations, reports indicate closures will span multiple states, primarily targeting lower-traffic shopping centers. Employees at impacted stores will be offered severance packages or opportunities to transfer to nearby locations where possible.

Industry-Wide Challenges

The retail landscape has grown increasingly competitive, with many brick-and-mortar chains struggling to adapt to online shopping trends. Kohl's, which operates over 1,100 stores nationwide, has experimented with partnerships (such as its Amazon returns program) and smaller-format stores to boost foot traffic. However, declining sales in certain markets have forced the company to cut costs.

What’s Next for Kohl’s?

The closures follow Kohl's earlier efforts to revitalize its business, including merchandise refreshes and expanded loyalty rewards. Analysts suggest the company may continue evaluating its real estate portfolio while pushing for stronger omnichannel sales.

Shoppers expressed mixed reactions, with some lamenting the loss of a local store while others hope the move will strengthen Kohl’s overall competitiveness.

For updates on specific closures, Kohl’s advises customers to check their official website in the coming weeks.

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