An Alberta-based farm store company has received an initial order for creditor protection and announced it will be closing all stores across the country.
On Monday Peavey Mart announced the decision to close after nearly 60 years of operation. Previously the company announced the closure of 22 stores in Ontario and Nova Scotia by the end of April as part of a plan to streamline operations and focus on long-term growth the company. According to a statement from the company, the decision to close and file for creditor protection under the Companies’ Creditors Arrangement Act from the Court of King’s Bench was made following discussions with both legal and financial advisors.
A statement on the company’s Facebook page reads, “The Canadian retail industry is experiencing unprecedented challenges, including record-low consumer confidence, inflationary pressures, rising operating costs, and ongoing supply chain disruptions. These factors have created significant obstacles for businesses like Peavey.”
According to the statement, the decision has been hard on the company’s staff, along with their customers and community.
It continues by adding the importance of shopping local or supporting Canadian retailers. “You ensure that dollars stay within Canada, supporting the people, organizations, and livelihoods that enrich our communities.”
Liquidation sales at the 90 Peavey Mart stores and six MainStreet Hardware locations being impacted reportedly will begin immediately.