A Canadian farm goods store chain is closing all its stores and seeking creditor protection, putting an end to days of speculation about the chain's future from its customers, who now have to look for alternatives.
Peavey Mart, headquartered in Red Deer, Alta., announced the closure of locations in Ontario and Nova Scotia on Thursday as part of what it referred to in a news release as an "organizational restructuring."
However, in an update on Monday, Peavey confirmed it would begin "closures and liquidation efforts" immediately, shuttering all 90 Peavey Mart locations, as well as six MainStreet Hardware stores run by the same company.
It has also sought an initial order for creditor protection from the Court of King's Bench of Alberta, a move the company said came after a thorough evaluation of all of its options.
"The Canadian retail industry is experiencing unprecedented challenges, including record-low consumer confidence, inflationary pressures, rising operating costs and ongoing supply disruptions along with a difficult regulatory environment," read a company statement.
"These factors have created significant obstacles for businesses like Peavey."
The statement announcing the closure said the company would work with stakeholders to look at options to preserve the brand, with Peavey's CEO calling it a "profoundly difficult decision."
"For nearly six decades, our customers' loyalty, employees' dedication, and the resilience of the communities we serve have been the cornerstone of our business," Doug Anderson said.
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