Billings Families Hold Out Hope for Our Carter’s Store

If you’ve ever wandered into the Carter’s store in Billings for baby clothes or that “just one more cute outfit” moment, you’re not alone. I still remember the day I found out I was expecting - my very first stop was Carter’s. I bought the tiniest little sleeper, completely unaware of how fast those sizes would change. Over the years, that store has become my go-to every time my son hits one of his “growth spurts,” which feels like every two weeks. So, hearing that Carter’s is planning to shut down stores across the country hit a little too close to home.

Carter’s Announces 150 Store Closures and Major Job Cuts Nationwide

Carter’s, the well known baby and children’s clothing brand behind OshKosh B’gosh, Skip Hop, and Little Planet, has announced plans to close about 150 stores across North America over the next three years. That’s up from its earlier plan to close 100.

The company, which currently operates more than 1,000 stores, also says it will cut about 300 corporate jobs, roughly 15% of its office workforce, by the end of 2025. The move is part of a larger effort to cut costs and focus on locations that are performing well.

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Tariffs and Rising Costs Slash Carter’s Profits by 80%

Carter’s says profits have fallen hard and are down 80% from last year’s third quarter. The company reported earnings of just $11.6 million, compared to nearly $58 million the same time last year. CEO Douglas Palladini pointed to higher production costs, including tariffs that are costing the company an estimated $200 million to $250 million a year. Those expenses have made it harder to stay profitable, even though retail sales in the U.S. improved slightly this year.

Billings Families Wait and Worry as Carter’s Decides Which Stores to Close

Carter’s hasn’t released a list of which locations are closing, but the company says it’s targeting stores with low margins or leases that are about to expire. That means smaller or lower-traffic stores could be more vulnerable, especially those in shopping centers that have struggled since the pandemic.

For many of us, the Billings store has become more than a place to shop; it’s part of our parenting story and we anxiously wait for the closure list to come out, crossing our fingers that our store isn't on the list.

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Carter's says that closures will roll out gradually over the next three years as leases end and that it plans to keep online shopping strong and continue offering products through retail partners like Kohl’s and Target.