Caldor To Close 12 Stores

Discount retailer Caldor announced Tuesday it will close 12 stores in an effort to refocus business in key markets. All seven locations in suburban Washington, D.C., as well as stores in New York, Maryland, and Virginia are slated for shutdowns by spring, leaving 1,300 jobs at stake.

The discount retailer is seeking to emerge from bankruptcy court more than two years after filing for Chapter 11 protection from creditors.

"We have determined it is in Caldor's best interest to close these stores, which fall short of our financial performance targets," said Warren D. Feldberg, Caldor's chief executive. "This will allow us to better focus on building and enhancing operations in our core markets."

Caldor has been trying to change its image with a more upscale look and lowering overall prices. The decision to close stores will help the company concentrate on its main markets in New England and the Mid-Atlantic states.

The closings, which are subject to bankruptcy court approval, will leave Caldor's with 145 stores in 10 East Coast states.

In Maryland, Caldor's will close stores in Greenbelt, Silver Spring, Clinton, Forestville, Baltimore and Westminster; in Virginia, in Falls Church, Herndon and Fairfax; and in New York, in Albany, Glens Falls and Jericho.

In April, the company expects to report fiscal 1997 earnings before interest, taxes and other non-operating costs of more than $50 million.

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