Hudson’s Bay Company (HBC), Canada’s oldest retailer, has announced plans to close all 96 of its stores nationwide as it prepares to liquidate its business after failing to secure sufficient financing. The company, which owes nearly $950 million to creditors, is expected to begin store closures and liquidation sales as early as March 18, 2025.
- Gift Cards Still Valid – But Only Until April 6
Customers with HBC gift cards will be able to use them until April 6, 2025. After this date, gift cards will no longer be accepted. - Reward Points Program Paused
The HBC Rewards program has been suspended, and customers can no longer earn or redeem points. - HBC Mastercard Holders Can Still Earn Cashback
While HBC Mastercard holders cannot earn or redeem rewards, they will continue to earn cashback through Neo Financial. Cardholders will receive 2% cashback on purchases at Hudson’s Bay and 1% cashback elsewhere until further notice.
HBC remains hopeful for a last-minute restructuring deal, but without major financial support from landlords, investors, or government partners, the company will move forward with liquidation.
- Liquidation Sales Begin This Week – Expect storewide discounts as locations sell off remaining merchandise. All sales will be final once liquidation begins.
- TheBay.com to Remain Operational – For Now – The online platform will continue to serve customers during the liquidation process.
- Job Losses & Mall Impacts – 9,364 employees face layoffs, and 32 Ontario malls will lose an anchor tenant, impacting shopping centers nationwide.
Experts cite ongoing financial struggles, changing consumer habits, and rising costs as key reasons behind Hudson’s Bay’s failure.
- Heavy Debt Load – As of January 2025, HBC had only $3 million in cash on hand while owing $1.1 billion in secured debt.
- Retail Industry Shift – Consumers increasingly favor specialty stores and online shopping, reducing demand for traditional department stores.
- Lease Challenges – Many HBC locations are locked into long-term, high-cost leases, limiting flexibility to downsize operations.
If no last-minute restructuring deal is secured, all Hudson’s Bay locations, along with Saks Fifth Avenue and Saks Off 5th stores in Canada, will permanently close by June 15, 2025.