One of Canada's oldest retail brands, Hudson's Bay, is officially closing its doors.

Before announcing the permanent closure of all stores, the company launched a major clearance sale on April 25th at six Hudson's Bay locations and one Saks Fifth Avenue location.

Clearance discounts details:

  • Hudson’s Bay items are discounted by 40% to 70%, covering apparel, jewelry, furniture, etc.
  • All Saks Fifth Avenue merchandise is discounted by 30% (70% off).

If the company fails to find a buyer before June 15th, these Canadian stores will be permanently closed.

Store Closures Continue to Spread

The stores set to close this time are just part of the company's overall contraction. This year, Hudson’s Bay has already closed or plans to close the following stores:

  • 73 Hudson's Bay department stores
  • 14 Saks OFF 5TH discount stores
  • 2 Saks Fifth Avenue premium stores

Hudson’s Bay attributes its business collapse to a series of unfavorable factors:

  • Continued weakness in consumer spending
  • A sharp decline in foot traffic at physical stores post-pandemic
  • Inflation leading to rising costs and retail prices
  • Tariffs imposed by former U.S. President Donald Trump on Canadian goods, exacerbating tensions between the U.S. and Canada

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Financial Collapse: Bankruptcy Protection + Massive Debt

Hudson's Bay filed for Chapter 11 bankruptcy protection in March 2025, owing suppliers more than 950 million CAD, including brands such as Ralph Lauren and Chanel. Additionally, approximately 9,364 employees will lose their jobs as a result.

Furthermore, Hudson's Bay's total revenue fell from 1.65 billion CAD in 2023 to 1.1 billion CAD in 2024, with e-commerce sales dropping from 300 million CAD to 142 million CAD.

Retail analyst Neil Saunders stated: "Hudson's Bay's biggest problem lies in the customer experience. Most stores fail to provide a satisfactory shopping environment, resulting in declining foot traffic and sales year after year, gradually losing its appeal to Canadian consumers. Even with a century-long history and symbolic significance, it couldn't save them."

The End of a Century-Old Commercial Empire

Hudson’s Bay, as a representative of Canada's retail industry, traces its history back to the fur trade era in the 17th century and was once a standard presence in Canadian shopping malls.

The company has changed hands multiple times and is currently controlled by NRDC Equity Partners, founded by real estate tycoon Richard Baker.

In 2013, Hudson’s Bay acquired Saks and merged with Neiman Marcus and Bergdorf Goodman in 2024 to form "Saks Global." Despite these moves, store closures continued.

It is worth noting that this bankruptcy only affects the Canadian stores; Saks stores in the U.S., including the San Francisco store in California set to close on May 10th, are unaffected by the bankruptcy filing.

Source Links:

  • https://www.dailymail.co.uk/yourmoney/consumer/article-14669237/historic-retailer-hudsons-bay-closing-sale.html

Original Article: https://www.toutiao.com/article/7500740603081277963/

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