Utah seems to be taking the brunt of another round of Shopko store closures. The Wisconsin-based retailer filed for bankruptcy protection last week and announced the closing of 38 stores — 13 of which are in the Beehive State. The chain announced the closing of 40 stores last month.{mprestriction ids="1,3"}
In the announcement, Shopko Stores said excessive debt and ongoing competitive pressure are forcing it to seek protection from creditors. Shopko is reporting assets of less than $1 billion and liabilities of between $1 billion and $10 billion. The company said it plans to continue operating through Chapter 11 reorganization after securing $480 million in financing from a group of lenders led by Wells Fargo Bank. The financing will allow Shopko to continue to pay employees, vendors and suppliers, it said.
The 13 stores that will close in Utah between March 3 and April 15 include Murray, Sandy, West Jordan, Taylorsville, Ogden, West Valley City, Brigham City, Orem and Spanish Fork. Shopko-owned stores operating under the Hometown brand will close in Delta, Nephi, Blanding and Beaver.
After the round of closures, seven Shopko stores will remain open in Utah. They are Ballard, Layton, Logan, Moab, Riverdale, Salt Lake City and Tremonton.{/mprestriction}
