NEW YORK -- Ann Taylor Stores Corp. will open a 250,000-square-foot distribution center in Louisville, Ky., in early 1995.

At that time, the chain will close its New Haven, Conn., distribution center and a supply fulfillment center in North Haven, Conn. The closings will affect 105 associates. The company said it will provide relocation, severance benefits and job training.

Sally Frame Kasaks, chairman and chief executive officer of Ann Taylor, said in a statement, "Ann Taylor has a long association with New Haven. We hoped we would be able to keep the distribution center there. However, Kentucky offers important operating benefits, including its central location in the U.S. and the significantly lower cost of constructing a distribution facility there."

She added that the company's financial operations center, which includes the credit card, customer service, finance and accounting functions, will stay in New Haven.

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