MEMPHIS — Discount chain Fred’s Inc. announced that it will close an additional 49 underperforming stores as part of an ongoing effort to optimize store footprint. Pharmacies will remain open at all locations listed below — customers can continue to fill their prescriptions, receive vaccinations and purchase over-the-counter medications.
Fred’s decision to close additional underperforming stores follows a continued evaluation of the company’s store portfolio, including historical and recent store performance and the timing of lease expirations, among other factors.
Fred’s said it will continue its partnership with Malfitano Advisors and SB360 Capital Partners to help manage the process and ensure a seamless experience for customers.
It’s the third round of closings since April and comes five weeks after “going out of business” liquidation sales began at 105 Fred’s stores and follows the decision to shutter 159 locations.
After the combined 313 closures, representing 56% of the company, there will be 244 remaining locations.
Stores in the new round are located in eight states. Mississippi is losing the most with 17, followed by Arkansas with 10 and Louisiana with eight.
“Fred’s shoppers are frequent shoppers,” said Aaron Miller, an executive vice president of SB360. “They’re in the store every week, and some of them are in multiple times each week. When they see the discounts, word travels fast.”
The liquidation is expected to be carried out quickly.
“As we saw in the prior Fred’s closing stores, sales are always brisk, and the shelves empty quickly,” Ziggy Schaffer, an executive vice president of SB360. “Fred’s stores offer good day-in, day-out value on everyday necessities, and with discounts on top of good prices, shoppers buy in bulk.”