CNN/Money reports that Home Depot is exiting its EXPO business and will be shutting down 34 EXPO Design Center stores. Five YardBIRDS stores and two Design Center stores will also be closed. The company is also laying off 7,000 people.
"Exiting our EXPO business is a difficult decision, particularly given the hard work and dedication of our associates in that business and the support of our loyal customers," Home Depot CEO Frank Blake said in a statement. "At the same time, it is a necessary decision that will strengthen our core Home Depot business."
The company said in a statement that its EXPO business has not performed well financially and is not expected to anytime soon.
"Even during the recent housing boom, it was not a strong business. It has weakened significantly as the demand for big ticket design and decor projects has declined in the current economic environment. Continuing this business would divert focus and resources from the company's core [Home Depot] stores," the statement said.
It's not a surprise that Home Depot's home design business end was hard hit by the recession given the drop in home values and the dimishing number of housing starts. In a press release, Home Depot says it still plans to open 12 new Home Depot stores this year.
CNN/Money 
