Coldwater creek cuts workforce by 8%
February 26, 2001,
SANDPOINT, ID — In response to its recent slowdown in sales, Coldwater Creek, a woman's apparel, gift and home merchandise multi-channel retailer, has announced that it will reduce its workforce by almost eight percent, as well as implement other cost-cutting measures.
"As we reported in our release on February 13, the downturn in consumer spending has caused us to revise our expectations downward for the near term," said Georgia Shonk-Simmons, ceo. "Following our robust sales performance over the past 12 months, we entered the important January-February spring selling season with the anticipation of continued strong sales activity, and staffed our call centers and distribution centers accordingly. Quite simply, those early spring sales did not happen this year, and we are adjusting our staff size to a more efficient base to reflect the change in full-price sales."
The company currently operates 10 stores with a merchandise mix that includes up to 10 percent home goods.
However, the company's brand-building strategy for opening retail stores nationwide will not be affected, and remains on schedule to roll out 10 to 15 new locations during fiscal 2001.