Tuesday, December 23, 2008

Many USA Retailers To Close in 2009 (No More Shopping Malls?)

I completely agree with the below article about the state of our retail establishments. I hope I am wrong. It will be sad to lose one of the last remaining pieces of my childhood -- the suburban shopping mall. Many great 1980s movies from Fast Times at Ridgemont High, Commando to Killbots occupied a place in the American shopping mall. If the retailers go belly up, then what will happen to our shopping malls? Only the strong will survive -- unless they ask for and get a gubment' bailout!

U.S. retailers will face a Darwinian fight for survival next year as they run out of cash as early as January and competition forces thousands of store closings, according to private-equity buyers and restructuring experts.

Probably 50,000 stores could close without any effect on consumer choice, Gregory Segall, a managing partner at buyout firm Versa Capital Management Inc., said yesterday during a panel discussion held at Bloomberg LP’s New York offices.

Source: Bloomberg

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