ROSWELL, Ga. -- Harry's Farmers Market here closed its problematic megastore in Clayton County last week.
The move is the latest in a series of setbacks for the chain.
Opened in May, the Clayton County store continuously incurred higher-than-anticipated losses, Harry's had said on several occasions. In the end, the store was losing $200,000 each month, according to a new statement from the company.
In the statement, Harry Blazer, chairman and chief executive officer, emphasized that the closure is part of his overall plan to cut costs. Harry's has failed to make a profit since going public in 1993. The company now operates three megastores and two Harry's in a Hurry convenience stores.
In the third quarter ended Nov. 1, Harry's was expected to record charges of $3.5 million to $4.5 million related to the closing. Those figures have not yet been released.
Last year, the chain had a loss of $1.6 million on sales of $143.8 million, with same-store sales down 7.6%. The company went through a financial restructuring that put expansion plans on hold for most of the year.
Harry's has continued to sustain losses through the first two quarters of this year. In April, the company dropped plans to test its Harry's in a Hurry concept in Wal-Mart stores to refocus on improving its core supermarket operations.
