Australian online retailer SurfStitch Group Ltd. said it will close its Irvine-based North American operations this year and shift its SWELL e-commerce business there to Australia.
“Although, considerable progress has been made in arresting losses in North America, the region will continue to be unprofitable for the foreseeable future,” Chief Executive Mike Sonand said in a statement.
“The new technology platform we have implemented in Australia will enable the SWELL site to operate in North America whilst being serviced and managed by our teams in Australia. These measures will provide for a greater focus on our two largest markets, Australia and the U.K., and will materially reduce our operating costs, while still maintaining a consumer presence in North America.”
The move follows a round of job cuts in October when the company laid off about 40 in Irvine.
—Mediha DiMartino
