US Target buys Zellers

[iAmBrendaLee]

The two Zellers stores here are disgustingly dirty and have been for as long as I can remember. The washrooms are too filthy to use. The restaurant prices are outrageous too for such crappy food. I can't say I'll miss them ... my dear old mom will miss her senior's specials though.

I hope this means we'll be getting Target stores in Fredericton.

[ryry]

DH is an electrician and often works at a local mall, they have already started to make small changes towards a move to a Target. Most people wouldn't notice but things are changing there slowly. We also got a phone call, Target survey...so I am hopeful that one will open near me.
I think it will be differnent from the US Target, but hopefully they will try to carry some of the products they currently carry.

I also heard the Dollar Tree bought Dollar Giant, the store name will remain unchanged but product will change???

[sampler]

Won't we get like a 30day notice if the points will deplete?

[lisaglynn1983]

ugh. i hate american companies buying out canadian companies.

Zellers has been owned by an American company for years now - Currently its Lord and Taylor

[theweave]

From CTV News Toronto:

After years of anticipation Canadian consumers can soon set their sights on a new shopping destination, as U.S. discount retailer Target has announced plans to set up its stores north of the border.


Target Corporation said Thursday that it is paying the Hudson's Bay Company $1.83 billion to acquire up to 220 Zellers stores from the 279 that are currently open across Canada.


Target says the deal doesn't mean an immediate end to the Zellers brand, but is rather the first step in opening between 100 and 150 of its own stores here by 2014.


Although the money is expected to change hands in May and September of this year, "Zellers Inc. will sublease these sites from Target and continue to operate them under the Zellers banner for a period of time," the company said in a statement announcing the deal Thursday.

According to Target's chairman and CEO, his company's first move outside the U.S. will be a boon for Canadian consumers interested in a "superior shopping experience."


"We are very excited to bring our broad assortment of unique, high-quality merchandise at exceptional values and our convenient shopping environment to Canadian guests coast-to-coast," Gregg Steinhafel said in a press release promising "a more robust Target presence in Canada over time."


Commenting on the deal in a statement Thursday, Hudson's Bay Company Governor Richard Baker said, "This transaction provides attractive long term value and will allow us to invest substantial capital into our department store and specialty store businesses to continue to drive growth."


Target expects to spend approximately $1 billion to remodel and reopen the existing Zellers stores under its own brand. The company also says it will have hired up to 20,000 people once its stores are operational.

The Minneapolis-based company's more than 1,700 stores across the U.S. have long been a favourite of shoppers on the hunt for what the retailer has dubbed "discount-chic." But it remains to be seen how Target will stack up in Canada.


Robert Soroka, a marketing professor from McGill University, said the move will serve consumers well.


"This is a much needed infusion of energy into Canadian retailing. I think that Zellers has lagged a little bit and I think that right now, with Target coming, Canadian consumers have a lot to look forward to," he told CTV News Channel.


Soroka said the retail chain will have to account for things like consumer habits that are distinct from those in the U.S., as it confronts competitors like Walmart.


"Target has to remember that the cost of doing business in Canada is much higher. Operating expenses are higher," he said. "So with respect to any kind of pricing strategy, that's something they're going to have to take into consideration."


While speculation has been rife the company was considering a move north of the border for some time, Target only confirmed its international expansion plans in June of last year.


It had been stymied, however, by the hunt for suitable locations, and most recently, the economic slowdown.


Baker's U.S.-based real estate development company NRDC Equity Partners LLC enjoys strong ties with many of the biggest retailers south of the border. It paid $1.1 billion to acquire the Hudson's Bay Company in 2008.

I have long suspected this was coming, especially after finding "Target Exclusives" at my local Zeller's! I love Target in the USA and this should be interesting.... though they better accept the SPC card DARNIT!!!!!!

Reactions????????????
<STYLE>a.please {-moz-background-clip:border;-moz-background-inline-policy:continuous;-moz-background-origin:padding;background:transparent url(http://images.ctv.ca/v2/images/icon/share/comment2.jpg) no-repeat scroll 0 0;font-size:13px !important;font-weight:bold;padding-bottom:11px;padding-left:32px;padding-top:7px;float:left}</STYLE>

[himachal]

wow good news for all

[annedougherty]

http://forum.smartcanucks.ca/176641-...ellers-canada/

[theweave]

Ooops didn't see that Anne!

Here I thought I had a big scoop! Didn't see it pop up when I entered the title, it probably did but I ignored it! *LOL*

Oh well, good to see it coming but hate losing the HBC points and the SPC discount! Good news, bad news I guess!

[annedougherty]

Ooops didn't see that Anne!

Here I thought I had a big scoop! Didn't see it pop up when I entered the title, it probably did but I ignored it! *LOL*

Oh well, good to see it coming but hate losing the HBC points and the SPC discount! Good news, bad news I guess!

oh don't worry that new thread search thing just plain doesn't work sometimes lol!

[abbasgirl]

I read in the CBC news article that the Zellers stores will remain under that label for another 2 years and then some will be changed to Target in 2013. I'm thinking I'm just going to cash all my points in this weekend and go on a shopping spree though. I just don't want to take any chances.

[abbasgirl]

Won't we get like a 30day notice if the points will deplete?

I doubt it, if they are being bought out. At least we're getting some warning. With so many other companies, you just wake up one morning and there are "Going out of business sale" signs up, at which point you wouldn't be able to use your points and I'm not sure if you would even be able to use a gift card.

[nadiabreckon]

I don't understand why people are cashing in their points already, and especially the conversion to AM's is so crappy... *shrug* Sorry, it's just that this isn't happening for another 2 years, so there's still plenty of time earn plenty of points!

[sampler]

what to do? what to believe ?

[davidsprincess]

hate zellers-i could care less about HBC points.
they never have anything good and the store is falling apart and disorganized and dirty. i love target and their products. Target all the way!

[missbobloblaw]

what to do? what to believe ?

I believe all good things must come to an end- do as you see fit