A.J. Wright
Encyclopedia
AJWright was a chain of about 129 American
retail/outlet stores established in 1998 and owned by TJX Companies
. Like its sister company T.J. Maxx
, AJWright sold clothing, domestics, giftware, footwear, accessories, and fragrances at prices between twenty and seventy percent below regular prices. AJWright differs from other TJX chains by refreshing its merchandise on a regular basis. For most stores, new shipments arrived every weekday. In early 2011, TJX closed the chain's remaining stores and converted some stores to other TJX brands.
Although AJWright's primary target market was moderate-income families, its recent expansion has drawn additional consumer groups. The company's community service strategy centers on monetary donations to the Boys and Girls Club of America and other affiliates.
AJWright opened its first six stores in the northeastern region of the United States
in the fall of 1998. The first three stores – located in the towns of Brockton
, Somerville
, and Malden, Massachusetts
– were opened simultaneously on September 20 of that year. During the initial openings, Johnson & Wales University
's marketing director, Mark Neckes, approved of AJWright; he stated that AJWright strengthens TJX's coverage of urban markets, an area "where people need a place to shop [and] a place where retailers understand what people are looking for".
AJWright continued to open new stores as its customer base increased. By 2000, AJWright operated 25 stores across the United States; by December 2001, the number had increased to 40. The chain opened an additional 112 stores by the end of 2005, bringing its total to 152; however, this number will fluctuate due to store closures. In 2006, one business article stated that AJWright was "in the red" and that TJX needed to "figure out the future of its newer divisions, the less profitable AJWright and HomeGoods
stores and the non-off-price Bob’s Stores". Therefore, the company chose to focus on lowering the rapid expansion of the chain.
On November 30, 2006, TJX announced the closure of 34 underproducing stores. According to a TJX 10-Q on December 1, 2006, the closures were determined by "several factors, including market demographics and proximity to other AJWright stores, cash return, sales volume and productivity, recent comparable store sales and profit trends, and overall market performance". Employees were provided with severance package
s or offers to transfer to other AJWright or TJX stores. Ben Cammarata, CEO of TJX Companies, stated:
The tentative closure date for the stores was January 27, 2007. Because of closing expenses, TJX expected to include a reduction of $37 million in their fourth quarter 2006 net income statement. On February 21, 2007, TJX reported that the net income had fallen from $288.7 million the previous year to $205.5 million; the reduction included the $37 million closing expenses. The company expected to open about ten new stores by 2008.
During this period, the TJX database was hacked and customer information was compromised. Although TJX originally stated that the security breach occurred between May 2006 and January 2007, the company discovered that the database had also been compromised in 2005.
In December, 2010 TJX corporation announced a consolidation that would eliminate the A.J. Wright chain. Many A.J. Wright stores were converted into T.J. Maxx
, Marshalls
or HomeGoods
stores, while the remaining were permanently shuttered along with distribution centers. The entire process resulted in approximately 4400 layoffs.
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
retail/outlet stores established in 1998 and owned by TJX Companies
TJX Companies
The TJX Companies, Incorporated , is the largest international apparel and home fashions off-price department store chain in the United States. Based in Framingham, Massachusetts, the company originally evolved from the Zayre discount department store chain, founded in 1956, which opened its first...
. Like its sister company T.J. Maxx
T.J. Maxx
T.J. Maxx, sometimes referred to as TJ's or the Maxx, is an American department store chain owned by TJX Companies. With more than 900 stores T.J. Maxx is a major clothes retailer in the United States, whilst also operating stores in a number of other countries.-History:In 1976, T.J...
, AJWright sold clothing, domestics, giftware, footwear, accessories, and fragrances at prices between twenty and seventy percent below regular prices. AJWright differs from other TJX chains by refreshing its merchandise on a regular basis. For most stores, new shipments arrived every weekday. In early 2011, TJX closed the chain's remaining stores and converted some stores to other TJX brands.
Although AJWright's primary target market was moderate-income families, its recent expansion has drawn additional consumer groups. The company's community service strategy centers on monetary donations to the Boys and Girls Club of America and other affiliates.
History
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
in the fall of 1998. The first three stores – located in the towns of Brockton
Brockton, Massachusetts
Brockton is a city in Plymouth County, Massachusetts, United States; the population was 93,810 in the 2010 Census. Brockton, along with Plymouth, are the county seats of Plymouth County...
, Somerville
Somerville, Massachusetts
Somerville is a city in Middlesex County, Massachusetts, United States, located just north of Boston. As of the 2010 census, the city had a total population of 75,754 and was the most densely populated municipality in New England. It is also the 17th most densely populated incorporated place in...
, and Malden, Massachusetts
Malden, Massachusetts
Malden is a suburban city in Middlesex County, Massachusetts, United States. The population was 59,450 at the 2010 census. In 2009 Malden was ranked as the "Best Place to Raise Your Kids" in Massachusetts by Bloomberg Businessweek Magazine.-History:...
– were opened simultaneously on September 20 of that year. During the initial openings, Johnson & Wales University
Johnson & Wales University
Johnson & Wales University is a private, nonprofit, co-educational, career-oriented university with four campuses located throughout the United States. Providence, Rhode Island, USA, is home to JWU's first and largest of four currently operating campuses. Founded as a business school in 1914, by...
's marketing director, Mark Neckes, approved of AJWright; he stated that AJWright strengthens TJX's coverage of urban markets, an area "where people need a place to shop [and] a place where retailers understand what people are looking for".
AJWright continued to open new stores as its customer base increased. By 2000, AJWright operated 25 stores across the United States; by December 2001, the number had increased to 40. The chain opened an additional 112 stores by the end of 2005, bringing its total to 152; however, this number will fluctuate due to store closures. In 2006, one business article stated that AJWright was "in the red" and that TJX needed to "figure out the future of its newer divisions, the less profitable AJWright and HomeGoods
HomeGoods
HomeGoods is a chain of home furnishing stores operated by TJX Companies and has 270 stores across the US as of February 2007.HomeGoods operates the home furnishings sections of T.J. Maxx 'n More and Marshalls Mega Store stores....
stores and the non-off-price Bob’s Stores". Therefore, the company chose to focus on lowering the rapid expansion of the chain.
Severance package
A severance package is pay and benefits an employee receives when they leave employment at a company. In addition to the employee's remaining regular pay, it may include some of the following:* An additional payment based on months of service...
s or offers to transfer to other AJWright or TJX stores. Ben Cammarata, CEO of TJX Companies, stated:
The tentative closure date for the stores was January 27, 2007. Because of closing expenses, TJX expected to include a reduction of $37 million in their fourth quarter 2006 net income statement. On February 21, 2007, TJX reported that the net income had fallen from $288.7 million the previous year to $205.5 million; the reduction included the $37 million closing expenses. The company expected to open about ten new stores by 2008.
During this period, the TJX database was hacked and customer information was compromised. Although TJX originally stated that the security breach occurred between May 2006 and January 2007, the company discovered that the database had also been compromised in 2005.
In December, 2010 TJX corporation announced a consolidation that would eliminate the A.J. Wright chain. Many A.J. Wright stores were converted into T.J. Maxx
T.J. Maxx
T.J. Maxx, sometimes referred to as TJ's or the Maxx, is an American department store chain owned by TJX Companies. With more than 900 stores T.J. Maxx is a major clothes retailer in the United States, whilst also operating stores in a number of other countries.-History:In 1976, T.J...
, Marshalls
Marshalls
Marshalls, Inc., is a chain of American department stores owned by TJX Companies. Marshalls has over 750 conventional stores, as well as larger stores named Marshalls Mega Store, covering 42 states and Puerto Rico. Marshalls expanded into Canada in March 2011...
or HomeGoods
HomeGoods
HomeGoods is a chain of home furnishing stores operated by TJX Companies and has 270 stores across the US as of February 2007.HomeGoods operates the home furnishings sections of T.J. Maxx 'n More and Marshalls Mega Store stores....
stores, while the remaining were permanently shuttered along with distribution centers. The entire process resulted in approximately 4400 layoffs.