Zale Corp. said Tuesday it will close 60 unprofitable stores in the next 90 days and possibly dozens more by the end of the year, The Dallas Morning News reports.
Chief administrative office Rodney Carter said that the Dallas-based jeweler is also cutting its capital spending to $85 million this year from a planned $100 million, the newspaper reports.
Carter was speaking at the Cowen & Co. annual consumer conference in New York.
Stores closings include Zales, Gordon’s, and Piercing Pagoda kiosks.
In a related mater, Breeden Capital Management LLC raised its stake in Zale to 17.7 percent from 15.9 percent, according to a Securities and Exchange Commission filing Tuesday.
The Greenwich, Conn.-based investment fund, owned by activist investor Richard Breeden reported owning about 7.9 million shares on 44.6 million shares outstanding as of Nov. 30.
This is the fourth time this month that the fund has reported increasing its stake. Breeden, is the former SEC chairman.
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