Will Target decide to leave Canada?
Mark February 25th in your calendar. That’s the day Target Corp. holds its fourth quarter earnings call.
It’s also the day, perhaps, that Target CEO and chairman Brian Cornell will signal whether Target plans to remain in Canada or get out.
As noted in an article on The Street, Target Canada has been a “dead weight” to the American discounter’s finances ever since it purchased the leases to Zellers stores in Canada in 2011.
Between 2011 and the third quarter of 2014, Target Canada lost around US$2.1 billion–while battling empty shelves, empty aisles and a perception among Canadians that its prices weren’t nearly as competitive as Walmart or Loblaw.
The company put a big push on its Canadian business over the holidays but as The Street explains, if it didn't get the intended results, Cornell may decide to end the Canadian invasion for good.
Read the full article here.