A ONCE-FAST-GROWING titan of the jeweling industry has announced a spate of store closures.
Alex and Ani, a Rhode Island-based made-in-America jeweler, announced it would close 20 brick-and-mortar locations.
Once on a blistering path to stardom, Alex and Ani has tumbled through years of turnover and rebranding strategies.
The closures come after the company changed CEOs, declared bankruptcy, and secured an external $17million loan to fund its working capital.
Alex and Ani's new CEO, Scott Burger, told Retail Dive the move to close the stores is one of the ways the company would transition to "shifts in retail and consumers’ wants and needs."
"Throughout this process, we must make difficult decisions that ultimately support this journey."
Read More on Jewelry Stores
Burger said that the company will seek more opportunities to expand on the brand's new strategy.
He said the company "will continue to explore all options that support our refreshed business model," including potential new store openings.
Alex and Ani did not immediately respond to questions from The U.S. Sun about which locations will close or how the company will aid employees at the closing locations.
WHAT IS ALEX AND ANI?
The jeweler made its name with bangle-styled jewelry.
Most read in Money
Their most popular designs included bracelets with dangle charms.
They incorporated eco-friendly materials - like recycled metals - and promoted sustainable practices throughout their production processes.
Alex and Ani has collaborated with various organizations and charitable causes, creating unique edition bracelets and donating some proceeds to support initiatives.
According to Medium, the company's valuation expanded from $2.2million in 2009 to over $500million in 2016.
The company's luster began to fade in 2019 - particularly after a failed $1.1billion lawsuit against Bank of America alleging discriminatory lending practices against their then-female CEO, Carolyn Rafaelian.
The company experienced a 40 percent decrease in the fourth quarter of 2019 compared to the same quarter in 2018.
Alex and Ani declared bankruptcy in 2021, before securing the $17million loan in August 2022.
JEWELERS CLOSING
Alex and Ani follows the trend of other jewelry retailers, closing brick-and-mortar operations in favor of e-commerce sales.
Signet, a conglomerate brand of popular mall staples and well-known jewelry brands, said it would close 150 stores this year.
"We now expect to close, up to 150 stores over the next 12 months, largely at expiration," Joan Hilson, Signet’s chief financial, strategy, and services officer, said on a call with investors.
"We perform a continuous review of mall, off-mall, and digital channel activity in the given trade area to ensure we are most effectively supporting our connected commerce experience."
The company has not specified which stores will close.
Read More on The US Sun
The U.S. Sun reports on other store closures - here is an update from a bankrupt retailer.
Also, a wedding retailer may be closing stores after its bankruptcy declaration.
ncG1vNJzZmivp6x7tbTEZqqupl6YvK57zKilnrFfbYF5hZRyamiZnJrFbq3NnWSapplit6bDxKWpsmWTna6quoysn66spJq%2FqrrGZqOom5GptrC60mapnp6imsCpscNo