Business

Hhgregg closing Triangle stores

Shoppers line up outside the HHGregg store on Charlotte's South Boulevard waiting for the store to open at 4PM. Nov. 27,2014.
Shoppers line up outside the HHGregg store on Charlotte's South Boulevard waiting for the store to open at 4PM. Nov. 27,2014. rlahser@charlotteobserver.com

Electronics retailer Hhgregg will close 40 percent of its stores, including two in the Triangle, as it works to stem the red ink and turn around slow sales.

In addition to the 88 stores, the Indianapolis-based retailer is closing distribution centers in Maryland, Florida and Pennsylvania, it said Thursday.

Hhgregg President and CEO Robert Riesbeck said the closing stores are unprofitable or in areas that are no longer shopping destinations.

The retailer has 17 stores in North Carolina. In the Triangle, it will close a store on Piney Plains Road in Cary and on Renaissance Parkway in Durham. Stores in Mooresville and Asheville also will close.

“We feel strongly that the markets we will remain in are the right ones for our customers and our business model. Our team is dedicated to moving forward and being a profitable 132-store, multiregional chain where we will continue to be a dominant force in appliances, electronics and home furnishings,” he said.

The 88 stores are expected to close by mid-April, eliminating about 1,500 jobs, Hhgregg said.

Hhgregg said last month that it hired a financial adviser and investment banker to pursue a range of potential strategic and financial transactions to help it find ways to get back to profitability.

Bloomberg reported the chain is preparing to file for bankruptcy as soon as this month.

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