STORE CLOSURES

9 Months Ended

Sep. 30, 2021

Restructuring and Related Activities [Abstract]

The Company closed or did not renew leases for 49 certain U.S. stores in Illinois (8), Oregon (2), Colorado (2), Washington (1), Texas (31), California (2), Louisiana (1), Nevada (1) and Tennessee (1), of which 19 and 30 closed in the second and third quarters of 2021, respectively. The Company exited Illinois entirely given that state's legislative changes that effectively eliminated the Company's product offerings. The store closure decisions in other states were made after extensive analysis and in response to ongoing migration of customer transactions toward the online channel and the impact of COVID-19 on store traffic and profitability.

The Company incurred $5.7 million and $11.4 million of total one-time charges associated with the U.S. store closures for the three and nine months ended September 30, 2021, respectively, as follows:


(in thousands)	Three Months Ended September 30, 2021 (1)		Nine Months Ended September 30, 2021 (2)
Store closure costs
Severance and employee costs	$	2,714	$	3,655
Lease termination costs	453		1,018
Net accelerated depreciation and write-off of ROU assets and lease liabilities	2,484		6,741
Total store closure costs	$	5,651	$	11,414
(1) During the three months ended September 30, 2021, $0.7 million and $4.9 million of store closure costs were recorded within "Corporate, district and other expenses" and within "Cost of providing services," respectively, on the Statement of Operations.
(2) During the nine months ended September 30, 2021, the Statement of Operations included $5.7 million of store closure costs recorded within "Corporate, district and other expenses" and $5.7 million recorded within "Cost of providing services."