Goody’s parent to close about 90 underperforming stores

Keywords Real Estate / Retail

A national retailer that operates about 20 Goody’s stores in Indiana plans to close about 10 percent of its locations.

Houston-based Stages Stores Inc. announced Thursday that it plans to close about 90 underperforming stores.

Stage Stores has about 850 locations in 40 states, with more than 14,000 employees. It operates as Stage, Bealls, Goody's, Palais Royal and Peebles.

Company officials did not immediately say which locations will close or when.

Goody’s stores are typically found in medium-sized cities. The closest stores to Indianapolis are in Greenfield, Lebanon, Shelbyville and Martinsville.

President and CEO Michael Glazer said the closures involve stores representing 4 percent of total sales. Glazer said the company was challenged by the impact of a weaker peso and economic softness in parts of Texas, Louisiana, Oklahoma, and New Mexico.

The company on Thursday reported a second-quarter profit of $1.6 million, with profit of 5 cents per share. Earnings, adjusted for non-recurring costs, came to 22 cents per share. The results fell short of Wall Street expectations.

Goody's specializes in brand name apparel, accessories, cosmetics, footwear and housewares. It is the successor to Goody's Family Clothing, a Knoxville, Tennessee-based chain of clothing stores that went out of business in 2009. The chain operated more than 350 stores in the South and Midwest a decade ago.

Stages Stores acquired the Goody's name after it went out of business and re-opened some of the locations.

Please enable JavaScript to view this content.

Story Continues Below

Editor's note: You can comment on IBJ stories by signing in to your IBJ account. If you have not registered, please sign up for a free account now. Please note our updated comment policy that will govern how comments are moderated.