Whitefish store to remain open as Shopko files for bankruptcy
The Shopko Hometown store opened in 2015 at the Mountain Mall in Whitefish. (Pilot file photo)
Whitefish’s Shopko Hometown store will remain open even as the company announced that it’s filling for bankruptcy and will undergo financial restructuring.
The Whitefish store is not part of a list of stores closing as released by Shopko on Wednesday. The 37,500-square-foot department store opened here in September 2015.
Shopko was already in the process of closing 60 stores and 38 more were added to the list with the announcement of the Chapter 11 bankruptcy protection. The company is seeking to facilitate the restructuring as a result of “excess debt and ongoing competitive pressures,” according to a press release.
In a letter to customers, Shopko says its remaining stores will be open during restructuring.
“This decision is a difficult, but necessary one,” said Russ Steinhorst, Shopko’s Chief Executive Officer, in a release. “In a challenging retail environment, we have had to make some very tough choices, but we are confident that by operating a smaller and more focused store footprint, we will be able to build a stronger Shopko that will better serve our customers, vendors, employees and other stakeholders through this process.”
Two Montana Shopko Hometown stores — in Wolf Point and Plentywood — are included on the list of those stores closing.
The Kalispell Shopko is also not on the list of closing stores, though the Shopko Pharmacy will close.
Shopko stores provide merchandise and other services in small to mid-sized cities, while Shopko Hometown stores are a smaller concept store developed to meet the needs of smaller communities, according to the company.
Shopko will also relocate more than 20 optical centers to freestanding locations and auction off its pharmacy business. Shopko has obtained $480 million in financing to help fund operations during the bankruptcy process, according to a release.
Founded in 1962 and headquartered in Green Bay, Wisconsin, Shopko Stores Operating Co., LLC is a $3 billion retailer that operates more than 360 stores in 26 states throughout the Central, Western and Pacific Northwest regions.
Retail formats include 126 Shopko stores and 234 Shopko Hometown stores, along with pharmacy stores.
Additional information is available on the company’s restructuring website at http://info.shopko.com.