Company closes 8 stores, including Toowoomba
IT MAY have been opened just shy of seven months ago, but Mountain Designs says its Toowoomba store and other regional stores will close.
Mountain Designs spokesman Chris Hartley said four regional stores closed yesterday while four more would close tomorrow, including Toowoomba.
Mr Hartley said while the store was one of the newest for the company, factors like increased competition, online shopping and decreased foot traffic were to blame.
State media reported Mountain Designs Holdings showed a $7 million loss for the group in fiscal 2016, according to accounts filed with regulators.
“The ongoing operation of the group is dependent on the support of its shareholders and ongoing sales growth,” the accounts said.
Mr Hartley referenced the report and said unfortunately that meant the company had to look at under-performing stores.
“Really what is happening is typical adjustments companies make as the market situation changes,” Mr Hartley said.
He said the company was still in operation and not in administration. The remainder of Mountain Designs’ stores will remain open. Stores at Joondalup, Wagga Wagga, Toowong and Dubbo closed on Sunday while Cannington, Bendigo, Woolongong and Toowoomba will close tomorrow.
Really what is happening is typical adjustments... — Chris Hartley