Lowe’s employees must determine outlook - Oct. 20, 2011
By David Harry
Staff Writer
Even the letters were gone from the front of the former Lowe’s store in Biddeford Crossing by 9 a.m. Monday. On the sidewalk outside the entrance, leaves scraped concrete in a chilly breeze.
Letter outlines were etched in the signature blue of the home improvement chain and curious former customers stopped by to see if it was true the Biddeford store was one of 20 closed or closing in 15 states.
Inside, employees who will be paid through the middle of December declined to comment and said only that they were called to an 8 p.m. Sunday meeting by store management. Fifteen minutes later, they knew they were out of a job.
The employees were among about 1,950 employees affected by closures of what Lowe’s officials called “underperforming” stores in a prepared statement.
Saco resident Greg Peace was one of the stunned former customers directed by a notice on the front doors to call stores in Sanford or Scarborough with questions about the closure or where to deliver or return items.
“I’m kind of surprised. We just spent about two grand here a couple of weeks ago,” he said about garden sheds he and his son bought.
Peace, who shopped at the 165,000-square-foot store about once a month, said he saw no indication the store was in financial trouble. He said he will miss the customer service he got shopping there.
The sudden closure also stunned Biddeford Mayor Joanne Twomey, who asked officials from the Maine Department of Labor to meet with about 120 Lowe’s employees Tuesday at City Hall.
The meeting occurred after Courier deadline.
The Biddeford Lowe’s store is one of two in Maine to close. A press release from the Lowe’s corporate department said the Ellsworth store will close in November after inventory is sold off.
Seven of 20 stores closed are located in New England, including three in New Hampshire.
Lowe’s officials announced a reduction in store openings after this year, following a review of expansion plans. The company expects to open 10 to 15 stores annually beginning in 2012, as opposed to prior plans to open 30 each year.
Biddeford Tax Collector Gail Doyon said the Lowe’s portion of Biddeford Crossing was taxed at almost $30,000 for personal property and $182,000 for land value this year.
Biddeford Director of Economic Planning and Community Development Daniel Stevenson said losing the store and jobs “is a hit nobody likes” and could have a short-term affect on the tax increment finance zone revenues Biddeford Crossing generates for downtown and mill redevelopment.
Biddeford Finance Director Curt Koehler said the tax increment finance district, including the mill area, generated $522,000 in revenue last year. Koehler noted Lowe’s is only a small portion of the district.
Tax increment finance districts are created to fund municipal improvement projects by setting aside increases in property tax revenues stemming from development.
Stevenson said it was not the first time the retail areas, built in 2005, has been hit by closures. He remained confident in the long-term viability of Biddeford Crossing because new restaurants have moved into spaces vacated by Chili’s and TGI Friday’s. Michaels, an arts and crafts chain, opened last month.
Staff Writer
Even the letters were gone from the front of the former Lowe’s store in Biddeford Crossing by 9 a.m. Monday. On the sidewalk outside the entrance, leaves scraped concrete in a chilly breeze.
Letter outlines were etched in the signature blue of the home improvement chain and curious former customers stopped by to see if it was true the Biddeford store was one of 20 closed or closing in 15 states.
Inside, employees who will be paid through the middle of December declined to comment and said only that they were called to an 8 p.m. Sunday meeting by store management. Fifteen minutes later, they knew they were out of a job.
The employees were among about 1,950 employees affected by closures of what Lowe’s officials called “underperforming” stores in a prepared statement.
Saco resident Greg Peace was one of the stunned former customers directed by a notice on the front doors to call stores in Sanford or Scarborough with questions about the closure or where to deliver or return items.
“I’m kind of surprised. We just spent about two grand here a couple of weeks ago,” he said about garden sheds he and his son bought.
Peace, who shopped at the 165,000-square-foot store about once a month, said he saw no indication the store was in financial trouble. He said he will miss the customer service he got shopping there.
The sudden closure also stunned Biddeford Mayor Joanne Twomey, who asked officials from the Maine Department of Labor to meet with about 120 Lowe’s employees Tuesday at City Hall.
The meeting occurred after Courier deadline.
The Biddeford Lowe’s store is one of two in Maine to close. A press release from the Lowe’s corporate department said the Ellsworth store will close in November after inventory is sold off.
Seven of 20 stores closed are located in New England, including three in New Hampshire.
Lowe’s officials announced a reduction in store openings after this year, following a review of expansion plans. The company expects to open 10 to 15 stores annually beginning in 2012, as opposed to prior plans to open 30 each year.
Biddeford Tax Collector Gail Doyon said the Lowe’s portion of Biddeford Crossing was taxed at almost $30,000 for personal property and $182,000 for land value this year.
Biddeford Director of Economic Planning and Community Development Daniel Stevenson said losing the store and jobs “is a hit nobody likes” and could have a short-term affect on the tax increment finance zone revenues Biddeford Crossing generates for downtown and mill redevelopment.
Biddeford Finance Director Curt Koehler said the tax increment finance district, including the mill area, generated $522,000 in revenue last year. Koehler noted Lowe’s is only a small portion of the district.
Tax increment finance districts are created to fund municipal improvement projects by setting aside increases in property tax revenues stemming from development.
Stevenson said it was not the first time the retail areas, built in 2005, has been hit by closures. He remained confident in the long-term viability of Biddeford Crossing because new restaurants have moved into spaces vacated by Chili’s and TGI Friday’s. Michaels, an arts and crafts chain, opened last month.
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