Just three years after overhauling its new Mountain View store, Orchard Supply Hardware's parent company announced Wednesday morning it will be closing down all of its locations.
The news signals the end for a home-improvement chain that originated in the South Bay nearly 90 years ago. But like many retail businesses, Orchard Supply has been on the ropes for years, facing intense competition from larger stores and online rivals. The company declared bankruptcy in 2014 and was later acquired by the hardware giant Lowe's, based in North Carolina.
Following the purchase, Lowe's announced a commitment to inject $200 million to prop up the struggling chain. As part of that investment, the Orchard Supply in Mountain View was remodeled, and the chain began expanding outside of California into Oregon and Florida. As recently as last year, a new Orchard Supply store had opened in East Hollywood, according to the Los Angeles Times.
All Orchard Supply locations are expected to close by October, according to a Lowe's earnings report released on Wednesday morning. As they work to shutter those stores, the company expects to hold closing sales to sell off their remaining inventory.
Under the current plan, all Orchard Supply employees are expected to be terminated. Lowe's officials say they will provide job placement services for all workers, some of whom could be hired on by Lowe's.