Microsoft Will Close All Its Retail Stores
Microsoft has announced its intention to close all its physical stores as part of a new approach to retail.
The company is expected to reserve $450 million, or $0.05 per share, in the current, fourth, fiscal quarter for asset write-downs and impairments.
The company suspended its Microsoft Store operations at the end of March due to restrictions imposed due to the COVID-19 coronavirus pandemic.
In a statement, Microsoft said that all its employees employed in the retail segment will continue to work in the company's offices and remotely.
“Our sales have grown online as our product portfolio has evolved to largely digital offerings, and our talented team has proven success serving customers beyond any physical location," said Microsoft Corporate Vice President David Porter. “We are grateful to our Microsoft Store customers and we look forward to continuing to serve them online and with our retail sales team at Microsoft corporate locations," quoted in the company's press release.
Microsoft shares are down 1.6% in Friday trading.