Although giving gift cards to someone for their favorite store may be a good idea in previous years, you may want to rethink your plans for this holiday season.

If you give a gift card to someone and then the store closes then the gift recipient will not be able to redeem their gift card and your gift is wasted.

I had a friend who was given a gift card to Sharper Image. You may know that Sharper Image filed for Chapter 11 bankruptcy earlier this year and thus ended up closing all their stores. Even before they closed their stores, my friend was not able to redeem his gift card. It’s a bit unfair since they already received the money but what can you do?

If you’re a die hard gift card giver then make sure the store you’re planning to buy from is not about to close any stores.

Here is a list of companies I got from Aol’s website which are facing some big financial troubles.

1.) Circuit City

Just filed for bankruptcy and closing 155 stores nationwide.

2.) RadioShack

Cash tight. Small player catering to low-end consumer base.

3.) Safeway

This large grocery chain operates on a very small profit margin.
Tight consumer spending could decrease that small margin to nothing.

4.) Tiffany and Company

Catering luxury consumers who are seeing layoffs in the financial sector.

5.) Apple

Imacs are expensive when compared to PCs. Most people have an iPod
already. Bad news!

6.) Tuesday Morning

Problems with inventory

Below is a list of stores which are closing. I found them on Craigslist so you
should do some fact checking on this list.

Ann Taylor closing 117 stores nationwide.
Eddie Bauer has already closed 27 shops
Cache closing 20 to 23 stores
Lane Bryant, Fashion Bug, Catherine’s closing 150 stores
Talbots, J. Jill closing 22 underperforming stores
Gap Inc. closing 85 stores
Foot Locker to close 140 stores
Goodbye Levitz / BOMBAY - closed
Zale’s, Piercing Pagoda close 82 stores
Home Depot 15 store closings
CompUSA (CLOSED
Macy’s - 9 stores
Pep Boys - 33 stores
Ethan Allen Interiors close 12 stores
Wilsons, the Leather Experts - 158 stores
Sharper Image 94 store closings
KB Toys 356 stores that it is closing

Like this post? Subscribe to my RSS feed and get loads more!