GameStop Preparing To Close Some 200 Stores By End Of Year
NORTH TEXAS (CBSDFW.COM) - After GameStop posted 2nd quarter earnings that fell short of predictions, the company announced it would be closing as many as 200 stores by the end of the year.
GameStop chief financial officer Jim Bell said all of the brick-and-mortar locations chosen for closure were "underperforming". The latest round of shutdowns comes after the video game hub already closed 195 stores since the second quarter of last year.
Sales at the company have consistently decreased as consumers chose digital options to purchase video games and gaming consoles.
"Our strategic plan is anchored on four tenets which include, optimizing the core business by driving efficiency and effectiveness, creating the social and cultural hub of gaming within each GameStop, building compelling digital capabilities, and transforming our vendor and partner relationships for an evolving video game industry," GameStop CEO George Sherman said in a release.
The company currently has more than 5,700 stores in 14 countries. Officials with GameStop haven't said how many of the stores on the chopping block are in the U.S.
