(KTLA) — Advance Auto Parts plans to close all remaining locations in California by mid-March as the automotive giant undergoes a massive restructuring plan.
The store closures were announced in November in a federal WARN notice, which gives employees at least 60 days to prepare.
According to the notice, more than 1,600 workers will lose their jobs as the auto parts retailer shutters its 137 remaining stores across California. Closures began in early February and will eventually include more than 725 locations nationwide.
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Advance Auto Parts has been trying to stem deep losses driven by weak demand, as fewer drivers are opting to repair their cars, the company said. It posted an operating loss of $820 million in the fourth quarter.
“During 2024, we initiated transformative actions to reposition Advance for long-term success and value creation,” Advance Auto Parts president and CEO Shane O’Kelly said in a statement.
In addition to the store closures, the company’s restructuring plan also includes consolidating distribution centers to operate 12 large facilities by the end of 2026 and opening 60 market hub locations by mid-2027.
