US fashion label Henri Bendel to close after 123 years in business
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L Brands is to close down its 123-year-old luxury womens fashion brand Henri Bendel.
“We are committed to improving performance in the business and increasing shareholder value,” said L Brands CEO and chairman Leslie Wexner. “As part of that effort, we have decided to stop operating Henri Bendel to improve company profitability and focus on our larger brands that have greater growth potential. This decision is right for the future growth of our company, but not easy because of the impact to our L Brands family.”
Henri Bendel has 23 stores operating in 11 US states, including a flagship on Fifth Avenue. It also has an e-commerce site.
The company will implement a staged close-down, with new stock shipped for the peak holiday season and stores shuttered in January.
L Brands predicts Henri Bendel sales to reach US$85 million this year, with an operating loss of $45 million. That figure excludes closedown expenses.
L Brands is the parent company of Victoria’s Secret, Pink and Bath and Bodyworks.
Questions & Answers
Why is L Brands closing Henri Bendel?
L Brands stated the closure is to improve company profitability and allow them to focus on larger brands with greater growth potential. This decision is part of their effort to enhance business performance and increase shareholder value.
How many Henri Bendel stores are currently operating?
Henri Bendel currently operates 23 stores across 11 US states. This includes a prominent flagship store located on Fifth Avenue, in addition to its e-commerce site.
When will the Henri Bendel stores finally close?
The company will implement a staged close-down, with stores expected to be shuttered in January. New stock will still be shipped for the upcoming peak holiday season before the final closure.
What are Henri Bendel's expected financial results for this year?
L Brands predicts Henri Bendel's sales to reach US$85 million this year. The brand is also expected to incur an operating loss of $45 million, excluding any close-down expenses.