Store closure at Tandy Leather Factory
Tandy Leather Factory is to close Mid-Continent Leather Sales, comprising one store in Coweta, Oklahoma. The company was acquired in January 2007.
Jon Thompson, chief executive officer and president, said: "We accomplished our goal when we acquired this company, which was the elimination of a competitor. Unfortunately, we have not been able to satisfactorily improve its performance to justify its continued operation.
“We expect to incur a charge of approximately $300,000 in the fourth quarter this year as a result of the store closing. That charge is primarily the write-off of the goodwill associated with the acquisition."
Chief financial officer, Shannon Greene, added: "While the decision was a difficult one, it has become apparent that declining sales and lack of profits generated at this store was not going to change, despite our efforts.
“The location of the store did not provide sufficient growth opportunities to keep the store open. We have retail stores in Oklahoma City and Tulsa whose locations are better suited to take advantage of Tandy Leather's stronger brand."
