New York & Co. will close its 23-unit JasmineSola store concept by the end of the year to focus on “higher return opportunities” with its flagship brand.
“We believe that we can generate greater shareholder value by directing our resources and capital towards growth initiatives within our core New York & Co. brand,” said Richard Crystal, chairman and chief executive officer of the company in a statement, “and therefore have made the difficult decision to exit the JasmineSola business.”
The closures are expected to be completed by the end of the fiscal year and result in charges, principally noncash in nature, of $28 million to $30 million during the third and fourth quarters.
The company is looking into reassigning JasmineSola staff to other New York & Co. stores and converting some of the JasmineSola locations.
For more, see Friday’s issue of WWD.