September 14, 2018
by Yvette Thomas
L Brands Inc.—the parent company of luxury retailer Henri Bendel and lingerie retailer Victoria’s Secret and beauty retailer Bath & Body Works—has announced that it is permanently shuttering Henri Bendel by January 2019. All 23 Henri Bendel stores, as well as Henri Bendel’s online business, will be closed. Employees have been given a choice to interview for other L Brands jobs or accept severance pay. Henri Bendel had been in business since 1895. The flagship Henri Bendel on Fifth Avenue in New York City opened in 1913.
According to Marketwatch, L Brands stock rose 5.58% after it was announced that Henri Bendel was going out of business. Marketwatch also reports: “Henri Bendel’s 2018 revenue to total $85 million and its operating losses to total $45 million. L Brands stock is down more than 52% for the year so far while the S&P 500 index SPX, +0.03% is up 8.6% for the period.”
L Brands reported $12.6 billion in revenue for 2017, so Henri Bendel’s shuttering represents a small fraction of the L Brands’ business. However, Victoria’s Secret has reportedly been struggling and is on industry watch lists as a retailer that could be in big trouble by the year 2020.