MEC to lay off fewer workers than expected, with 1 store to close, new owners say

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Mountain Equipment Co-op has announced that it will lay off fewer workers than previously planned, with just one store due to close following its takeover by a U.S. private investment firm.The Vancouver-based company says 85 percent of its active workforce will remain at work after the deal closes, up from a low of 75 percent previously reported by Kingswood Capital Management Ltd.

MEC had 1,516 employees as of Sept. 7, including 1,143 who were primarily active in British Columbia and Ontario, according to a report from the monitor when it was under creditors protection.

The report also indicated that there were 197 workers on leave and 176 on layoff.

Kingswood plans to keep 21 of its 22 stores open, up from its original plan for a minimum of 17 stores.

After struggling with sluggish sales, inventory problems, and growing online competition, MEC filed for creditor protection on September 14 and announced its sale to a Canadian subsidiary of Los Angeles-based Kingswood. Angeles.

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