January 4, 2001

Nordstrom closing Yakima store

YAKIMA (AP) -- Nordstrom is closing its store here after 40 years of business, citing declining sales and the uncertain future of the downtown retail district.

The last day of business for the small store will be March 31, the clothing retailer said Wednesday.

"This was one of the toughest decisions we've ever had to make," said Blake Nordstrom, president of the Seattle-based chain. "Yakima was one of our first stores in the company."

The store opened here in 1960 as a shoe store. Apparel and accessories were added in 1963. The store currently employs about 132 people.

The store's sales have declined 34 percent since 1994, with future declines predicted, the company said.

The chain said it considered reinvesting in its current location, moving to a different location downtown or moving to a suburban area.

"We realized there weren't enough customers to support a full-size store," Nordstrom said.

Yakima is a city of about 65,000 people.

The company also had concerns about the retail health of downtown. The JC Penney store closed last summer, and the Bon Marche is planning to move to a suburban mall in Union Gap.

The Nordstrom chain has had disappointing sales and stock prices in recent months, and Blake Nordstrom said last month the chain might be sold if there was no turnaround.

In November, the company reported a loss of $3 million or 3 cents a share in the third quarter.

Nordstrom was trading at $19.25 a share Wednesday on the New York Stock Exchange, down from a 52-week high of $34.50 in April.