In an attempt to recover from a year of declining sales, Kohl’s says it will “shrink” hundreds of its stores.
The department store says it won’t necessarily close stores en masse, but will see how it can get more from its current locations by shrinking the amount of retail space, Fortune reports.
“As for some of that extra space, Kohl's may take a page out of rival department store chain Sears' (SHLD, -2.15%)playbook for reducing its stores size by renting out some of that square footage to other retailers,” the report reads.
Kohl’s net income fell by 15 percent to $252 million or $1.44 per share, Thomson Reuters reported.
The department store chain owns or has a ground lease on about 650 of its stores, Fortune reports, and only 10 percent are in malls, allowing more flexibility in reconfiguring, or “shrinking” its stores.
