Crafts retailer Michaels closing Pat Catan's not long after buying smaller chain

By Kate Gibson

/ MoneyWatch

What's in store for the economy in 2019?

Nearly three years after buying regional arts and crafts retailer Pat Catan's for $150 million, Michaels is closing all of the brand's 36 stores in Ohio, Pennsylvania, Michigan and West Virginia.

"The Pat Catan's retail business has struggled in the face of industry headwinds," Chuck Rubin, chairman and CEO of the Michaels Companies, stated Wednesday in a news release.

Those headwinds have led a slew of retailers to close shop, including kids' clothing chain Gymboree's bankruptcy filing earlier this month and plans to close more than 800 stores.

Michaels intends to reopen up to 12 of the closed stores under its own name later in the year.

"So far in January, we have seen more volatility in consumer shopping behavior than we initially expected," Rubin added.

Michaels lowered its fourth-quarter outlook for same-store sales. It also estimated profit would come in near the lower end of previous guidance. The company plans to report fourth-quarter and fiscal 2018 earnings on March 19.

Michaels is the biggest arts and crafts retailer in North America with 1,200 stores in 49 states and Canada.

First published on January 30, 2019

© 2019 CBS Interactive Inc.. All Rights Reserved.

Trump Organization says it will use E-Verify to check workers' status

A dozen immigrant workers at the Trump National Golf club were fired earlier this month, they claimed, after workers at another Trump club alleged that the club hired them knowing they were in the U.S. illegally

updated 5M ago

Deep freeze threatens millions, cancels flights in Midwest

Cities across the Midwest scrambling to protect people from historic cold

updated 13M ago

Crafts retailer Michaels is closing Pat Catan's stores

Nation's biggest arts and crafts retailer shuttering 36 stores in Ohio, Pennsylvania, Michigan and West Virginia

updated 18M ago

U.S. and China talk trade, but few expect any breakthroughs

The two countries have roughly a month to head off what would be a dramatic escalation in their trade war

updated 26M ago

DHS Secretary Nielsen briefs on Super Bowl security

The Super Bowl will be held at the Mercedes-Benz Stadium in Atlanta, Georgia

updated 31M ago

Trump Organization says it will use E-Verify to check workers' status

A dozen immigrant workers at the Trump National Golf club were fired earlier this month, they claimed, after workers at another Trump club alleged that the club hired them knowing they were in the U.S. illegally

updated 5M ago

DHS Secretary Nielsen briefs on Super Bowl security

The Super Bowl will be held at the Mercedes-Benz Stadium in Atlanta, Georgia

updated 31M ago

Trump suggests "intelligence people" should "go back to school"

The president's bristled at conclusions from his own intelligence agency leaders that don't match up with his own

updated 56M ago

Democrats demand answers from Mnuchin on move to lift Russia sanctions

Democrats want to know of any possible conflicts of interest Treasury Secretary Steve Mnuchin had in lifting sanctions on Russia

updated 59M ago

Democrats introduce new equal pay legislation

Democrats were joined by Lilly Ledbetter, the namesake for the equal pay act signed under President Obama in 2009

updated 50M ago

Ariana Grande's Japanese tattoo is a fail

Hope she likes BBQ

updated 54M ago

Trump suggests "intelligence people" should "go back to school"

The president's bristled at conclusions from his own intelligence agency leaders that don't match up with his own

updated 56M ago

Dutch church's 97-day marathon Mass wins refugee family a home

Hundreds of clergy volunteered to keep the service going for months, using an obscure law to shield an Armenian family from deportation

2H ago

U.K.'s May needs to renegotiate Brexit, but the EU won't budge

Prime Minister Theresa May has just 58 days to strike a deal and avoid what one rival lawmaker warns could be a fall "into an abyss"

3H ago

Taliban talks reconciliation, ex-U.S envoy says don't trust them

U.S. envoy has said "draft" framework agreed with Taliban but former U.S. officials warn the group will say anything to bring about American withdrawal

6H ago

Ariana Grande's Japanese tattoo is a fail

Hope she likes BBQ

updated 54M ago

"Empire" actor had noose around his neck, police say

He said he was beaten on a Chicago street by two masked men who shouted racist epithets, gay slurs and put a noose around his neck

7H ago

Grammy-winning R&B singer James Ingram dies at 66

James Ingram has been nominated for 14 Grammy Awards, winning for "100 Ways" in 1981 and for "Yah Mo B There" in 1984

18H ago

"Empire" actor assaulted in possible hate crime, police say

The actor told Chicago Police a group of men yelled racial and homophobic slurs and wrapped a rope around his neck

15H ago

Gwyneth Paltrow sued over alleged "hit and run ski crash"

A Utah man says the actress was "skiing out of control" when she knocked him down, leaving with with severe injuries

20H ago

Facebook paying teens for info on their phone activity

Facebook disputes report that practice has been "secret "and constitutes "spying" on participants

8H ago

Chicago is expected to be colder than Mount Everest base camp

It's also set to be colder than the South Pole

20H ago

NOAA responds to Trump's climate change skepticism with a cartoon

The National Oceanic and Atmospheric Administration tweeted increasing winter storms are a side effect of global warming

6H ago

Earnings week for Apple, Facebook, Microsoft, Amazon

High-tech giants in Wall Street spotlight as investors look for signs that explosive growth is holding up

Jan 29

What is the polar vortex and is global warming to blame?

Some scientists think the natural phenomenon bringing brutally cold weather to much of the nation has an unlikely helper

5H ago

Anti-vax movement fuels measles outbreaks, expert says

Dozens of children who weren't vaccinated have gotten sick, and the outbreak is spreading

1H ago

Drugmaker doubles recall of infant ibuprofen

Some batches found with overly high concentrations of the drug, with infants especially vulnerable to adverse effects

3H ago

Court to hear arguments over Ohio law banning abortions due to Down syndrome

The law's defenders argue it is a limited restriction intended as an anti-discrimination measure

7H ago

New report finds heavy metals in 45 popular fruit juices

Long-term exposure to these metals could cause some serious health risks, like kidney disease and certain types of cancer

updated 12M ago

Measles outbreak fuels debate over refusing vaccinations

Measles cases have prompted a health emergency in Washington state

19H ago

Trump Organization says it will use E-Verify to check workers' status

A dozen immigrant workers at the Trump National Golf club were fired earlier this month, they claimed, after workers at another Trump club alleged that the club hired them knowing they were in the U.S. illegally

updated 5M ago

Crafts retailer Michaels is closing Pat Catan's stores

Nation's biggest arts and crafts retailer shuttering 36 stores in Ohio, Pennsylvania, Michigan and West Virginia

updated 18M ago

U.S. and China talk trade, but few expect any breakthroughs

The two countries have roughly a month to head off what would be a dramatic escalation in their trade war

updated 26M ago

Fed keeps interest rates steady, reiterating "patience"

"The case for raising rates has weakened somewhat," Federal Reserve Chairman Jerome Powell said Wednesday

updated 26M ago

Once lauded by Trump, Harley-Davidson is now sputtering

Tariffs and an aging customer base are taking the shine off the iconic American motorcycle manufacturer

1H ago

Video shows man punching two women in Los Angeles

The incident took place Saturday at a hot dog stand

1H ago

"Empire" actor assaulted in possible hate crime, police say

The actor told Chicago Police a group of men yelled racial and homophobic slurs and wrapped a rope around his neck

15H ago

Cop rushed into gunbattle because "my guys were down"

Veteran Houston police officer among 4 shot in attempt to serve search warrant at drug house

20H ago

Cop charged in Russian roulette death appears injured in mugshot

Nathaniel Hendren is in custody three days after he was charged with involuntary manslaughter in the shooting death of Katlyn Alix

22H ago

Passenger stabs, kills pregnant Lyft driver in Tempe, Ariz.

Police arrested suspect some 133 miles away after they say he stole her SUV, which they think was the motive for the attack

22H ago