Reitmans (Canada) Limited announced Monday that they plan to close Thyme Maternity and Addition Elle this summer as part of its corporate restructuring.
A few weeks ago, the company announced that it had been granted creditor protection as it looked to restructure following lowered sales -- largely as a result of the COVID-19 pandemic, however no store closures were announced at the time.
In a statement, President and CEO of Reitmans, Stephen F. Reitman said,"The strategic decision to close two beloved Canadian fashion brands was not made lightly, but it is necessary to enable our business to move forward as a profitable organization. All of the efforts we put forth to turn these brands around were derailed by the COVID-19 pandemic and, unfortunately, we can no longer afford the required resources to bring them back to profitability."
This latest announcement will see all 54 Thyme Maternity stores and its e-commerce site close by July 18, 2020 and all 77 Addition Elle stores and its e-commerce site close by August 15, 2020.
These closures will see about 1,100 employees in retail stores, as well as another 300 at the Head Office in Montreal lose their jobs.
Going forward, Reitmans plans to focus on their remaining bands, Reitmans, RW & CO., and Penningtons.