Kohls to close 18 stores

After comparable store sales came in well below company expectations, Kohl’s Corp. announced it would be closing 18 underperforming stores, the locations of which would be known by the end of March. The news followed fourth-quarter profits that dropped by nearly 20%. Kohl’s fiscal fourth quarter ended Jan. 30.

The retail giant posted net income of $296 million ($1.58/share). A year earlier, it had a net income of $369 million ($1.83/share). Net sales increased, from $6.34 billion in 2014 to $6.39 billion in 2015.

Kohl’s is now forecasting lower sales for 2016 and warns it may not meet its 2017 target of $21 billion in sales because of a weakened economy. In February, the company also eliminated three senior leadership positions.

The store closings will reportedly save the company about $55 million.