Canadians are expressing shock and sadness as Hudson’s Bay faces the end of its historic run as it seeks to begin a liquidation process for all its stores.
Known as the largest and oldest corporation in Canada with a history spanning over three centuries, the iconic retailer announced Friday that it plans to begin liquidating all stores as early as this week after failing to secure enough financing to restructure under the Companies’ Creditors Arrangement Act (CCAA).
Despite determined efforts to save the business, Hudson’s Bay could only obtain limited debtor-in-possession financing, forcing the company to shut down operations altogether.
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In a press release posted on Friday, the company states that it’s still holding onto hope as it urges key partners, especially landlords, to consider an alternative restructuring plan that could save jobs and retail locations and ultimately, keep the brand alive.
Hudson’s Bay is set to appear in court Monday morning to request approval from the Ontario Superior Court of Justice for a full-scale liquidation at all of its 80 locations. The company reportedly plans to conclude the liquidation process by June 15.
Should the court approve the liquidation order, the process will start shortly after. While Hudson’s Bay locations, along with Saks Fifth Avenue and Saks Off 5th stores, will remain open for the time being, the company warns that sales will be final once liquidation sales begin.
If this decision moves forward, it places approximately 9,364 jobs at risk and could significantly impact shopping malls nationwide, where Hudson’s Bay has served as a long-time major tenant.
Hudson’s Bay says it will share further details about specific affected locations, closure timelines and customer accommodations soon.
Meanwhile, online users are sharing their thoughts on Hudson’s Bay shutting down stores with some sharing different ideas to keep the company alive.
“It’ll be a sad day if HBC actually goes under and ceases to exist. Not that I love them but it’s one of the oldest and has a lot of Canadian history tied,” a user on Reddit said.
“As a kid that grew up in department stores, I’m sad. As much as we hate the bay is American owned now, they are the anchor stores in malls,” another user commented.
“Heritage Canada should nationalize what is left of it. Return back closer to its roots as a general store providing Canadian local Canadian products wholesale, especially food. A smaller, locally sourced, crown corp Costco,” a user noted.
“Imagine if it was bought by Canada and became a country wide spot that only sells Canadian products,” a user suggested.
“Let’s add this to buying Canadian! If as many Canadians as possible could commit to buying their clothing, household items, cosmetics, etc from The Bay over the next few months instead of walmart, costco, marshalls, maybe we can save them…,” another user said.
