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Home Depot to Close Expo Design Centers

Company plans to cut 7,000 jobs as sales slump

By Truman Lewis
ConsumerAffairs.com

January 26, 2009

Slow housing sales and the deepening retail slump have taken a big bite out of the home warehouse chain's revenues.

Home Depot conceded that Expo had never been a show-stopper. Consumers might go a little farther. Expo has consistently been one of the top complaint magnets in the ConsumerAffairs.com database.

Many consumers who contracted with Expo for major home improvement projects complained that materials arrived late or were the wrong size and said subcontractors were poorly supervised by Expo project managers.

"Home Depot has had over $10,000 of our money since September and we still have not received the final product," said Laurie of San Diego, who said the Expo project manager, Jayne, had not been helpful.

"I've done more work trying to get this project finished than she has. She does not return calls, very unprofessional," she said.

In a statement, the company said Expo "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."

Home Depot is bracing for further declines. It said it will cut spending by about $1 billion and will only open 12 stores in the next year.

The company will also cut some 2,000 jobs and freeze salaries of top executives.

Besides Expo, Home Depot said it will close five YardBIRDS stores, two Design Center stores and HD Bath, a bath remodeling business.

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