SmileDirectClub Will Soon Close Some Of Its Stores To High Income Strategy

SmileDirectClub said it plans to expand its reach into the oral-care and teen-oriented markets. SmileDirect will stop operations in Mexico and other countries due to the current economic conditions. It will also halt its expansion in Australia, Canada, and the UK. The company said it expected to save about 120M dollars this year due to the changes. It booked $23 million in costs in the fourth quarter and another $10 million in the first half of 2009. The company said it would focus on its partner network and developing its presence in income bringing households.

SmileDirectClub

In Mexico, SmileDirectClub will also stop its operations. It will also halt its expansion in other countries, including Spain, France, and the UK. The company did not provide details about the number of jobs affected by the changes. However, Katzman noted that the company’s actions were made to enable it to remain focused on its core business and improve the oral-care industry. It is estimated that it would save about $120 million this year due to the changes. The company booked $23 million in costs in the fourth quarter and another $10 million in 2009.