Amidst company cutbacks, Nordstrom Rack reopens in Boise

Catie Clark//May 26, 2020//

Amidst company cutbacks, Nordstrom Rack reopens in Boise

Catie Clark//May 26, 2020//

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Shoppers at Boise Towne Square Mall. File photo

Nordstrom announced the permanent closure of 16 stores during the first week of May, but so far its discount Nordstrom Rack brand has not been affected. The Nordstrom Rack store in Boise Towne Square reopened on May 21.

There is no Nordstrom store in Idaho — it often lands on residents’ wishlist of stores they hope will one day open here.

Since May 8, retail commerce pundits from the New York Times to Business Insider have been speculating about a looming Chapter 11 bankruptcy for Nordstrom, one of the last survivors of the retail apocalypse. The company’s stock has fallen 56% since the beginning of the year and shuttering 16 stores means that the retailer is shutting down almost 14% of its full-featured department stores.

The outbreak has had a dramatic impact on retailers, particularly clothing stores.

According to Margetplace.org, U.S. retail sales numbers fell by more than 16% in April. For clothing retailers, they were down a staggering 79%. These sorts of numbers do not bode well for the endangered species of American department stores.

Speculation continues over Nordstrom, one of the last department stores standing and long considered one of the healthiest, according to the New York Times. The retailer announced on May 20 that it would close all three of its Jeffrey Boutique-branded stores in addition to the 16 department stores announced on May 8. The Jeffrey Boutiques sold high-end luxury-label clothing and accessories.

To date, Nordstrom has not moved to close any of its discount Nordstrom Rack stores, which currently form the backbone of its business. Prior to the closing announcements, the chain had 116 full-feature department stores, 247 off-price Nordstrom Rack stores, three Jeffrey boutiques, two clearance stores and five Trunk Club clubhouses.

For now, the Nordstrom Rack store in Boise will reopen while putting in place all of the “new normal” measures needed to pursue commerce in the age of the novel coronavirus.

Customers visiting the Boise Nordstrom Rack location will be expected to wear a mask while in the store. Customers without masks will be provided with one to be able enter the store. Nordstrom will also be limiting the number of shoppers on the premises during business hours.

“Our stores have always been, and continue to be, a core part of our business,” Karin Muskopf, Nordstrom spokesperson, wrote in a May 18 news release. “We’re taking a phased, market-by-market approach to reopening our stores. The health and well-being of our employees, customers and communities is our priority. We’ve been paying close attention to guidance and directives from local and national authorities, taking steps to ensure our stores and operations remain in alignment with those.”