Victoria's Secret, Bath & Body Works closing stores in Canada, US

Henrietta Brewer
May 22, 2020

Meanwhile, American retailer L Brands announced Wednesday it will reduce the number of company-owned Victoria's Secret stores and close about 250 in the USA and Canada this year. Both L Brands and Sycamore Partners called off the deal in May.

The parent company L Brands has said it plans to spin-off Bath & Body Works and operate Victoria's Secret as a standalone business.

The popular retail chain joins others in announcing permanent store closures in recent weeks including JC Penney, Macy's and Pier 1 , accelerated by the c oronavirus pandemic.

According to USA Today, the information was included in information the company posted yesterday as part of its quarterly earnings, which indicated sales were down 37 percent in the quarter that ended May 2.

The retailer, a mall staple which sells lingerie, womenswear and beauty products with 1,070 stores in North America, suffered a 46% loss in sales in the first quarter of 2020 as stores closed due to the coronoavrius pandemic and demand took a significant dip as people sheltered in place. The company says it will close 235 U.S. Victoria's Secret and three Pink stores.

Investors were heartened to hear that L Brands is doubling down on its plan to separate its healthy Bath & Body Works brand - which has continued to see sales growth - from its troubled Victoria's Secret brand. Almost all of its stores in the US closed in March and those that will reopen are not expected to open until July.

The company expects Victoria's Secret stores will reopen by the end of July.

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