Hudson's Bay Cutting 265 Jobs, Streamlining North American Operations

TORONTO, Canada — Hudson's Bay Co plans to eliminate 265 headquarter and other corporate jobs and cut costs to save C$75 million (US$55.86 million) as it streamlines its North American operations, the department store operator said on Tuesday.

Shares were up 4.8 percent at C$20.39 following the announcement.

The company said it is expecting a C$20 million charge in the third quarter as it consolidates key business functions to cut duplication across its various department store operations.

The cuts, which will impact just over 0.5 percent of its nearly 45,000 employees, will primarily impact U.S. positions, a company spokeswoman said.

Hudson's Bay, which also owns the Lord & Taylor banner in the United States, bought the Saks luxury chain in 2013 for $2.4 billion. Earlier this summer, it announced a 2.8 billion euro ($3.14 billion) deal to buy Germany's Kaufhof chain.

By Solarina Ho; editor: Lisa Shumaker.