Women's Fashion Retailer Closing 120 Stores: What To Know In VA

Women's fashion retailer Cato plans to shutter 120 stores this year, making it the latest company to announce the closure of a significant number of locations.

The Cato Corporation, parent company of Cato Fashions, currently operates more than 1,000 women’s apparel and accessories stores across 31 states, including Virginia. The company was founded in 1946 and focuses on budget-conscious consumers, much like TJ Maxx or Ross Dress for Less.

Cato’s store directory lists 42 locations in Virginia, including in Fredericksburg, Front Royal, and Richmond.

The retailer has not identified which stores will close or said whether any are in Virginia.

In a statement released earlier this month, Cato officials said the company will review stores as leases come up for renewal and said weaker locations are unlikely to recover as customers face pressure on their spending.

“We do not expect these marginal stores to improve appreciably,” CEO John Cato said.

Cato previously closed six stores in the first quarter of 2026 and eight in the second quarter, according to the company's latest earnings reports. It also opened two stores in the first quarter.

Second-quarter sales fell 6% year over year to $163.9 million, while net income dropped to $1.1 million from $6.8 million.

According to a recent Fast Company report, Cato is the latest company to announce significant store closures. Other closures have included hundreds of Eddie Bauer, Francesca’s, GameStop, and Walgreens locations.