Carter's to Close 150 Stores, Cut About 300 Jobs

Carter’s will close 150 low‑margin stores across the U.S. and Canada, with closures occurring gradually through 2028, and will cut about 300 office jobs (roughly 15%). CEO Douglas Palladini said elevated product costs — including higher tariffs — have hurt profitability, prompting the company to suspend new U.S. store openings and trim 20–30% of product choices to create a more unified global assortment. Carter’s expects the moves to generate roughly $35 million in annual savings and to better align its cost structure. The company reported only a marginal dip in net sales but a steep operating‑income decline in the most recent quarter. USA Today reported that about 100 of the 150 closures are likely to occur by 2026. Separately, Macy’s said it will permanently close its Backstage operation at the South Windsor distribution center, eliminating jobs between Dec. 28, 2025 and Jan. 10, 2026, with information on severance and transfer opportunities to be provided.