January 1, 2004


Kmart leaves San Jose

By Kymberli W. Brady
Staff Writer

The 115 employees at the Blossom Hill Kmart returned to work at 6 a.m. on Dec. 27 ready to forge ahead with massive after-Christmas sales, along with typical post holiday returns and exchanges. Instead they got pink slips.

For nearly 30 years, Kmart has been a mainstay in South San Jose, providing the same affordable merchandise that turned a modest five and dime in Detroit over a hundred years ago into one of the largest conglomerates in the country. Today an estimated 170,000 people still work in the remaining 1,500 stores throughout the United States, Puerto Rico and the Virgin Islands.

Located across from the newly remodeled Westfield Shoppingtown Oakridge, this will be one of four Bay Area Kmart locations added to the list of 600 closed since the Michigan-based company filed bankruptcy in January 2002. Although they emerged from the Chapter 11 reorganization process last May, stores continue to close and San Jose will be left without a Kmart presence next month when the Blossom Hill and McKee locations shut their doors for good on Feb. 13.

According to Kmart spokesperson Stephen Pagnani, the leases have been sold to an undisclosed buyer. “The company felt this was a unique financial opportunity,” he said. “We emerged from bankruptcy in May of last year and are now looking at the store base going forward.”

“This is not good for the economy,” commented 18-year Almaden resident Darlene DellaMageiore as she heard the news while shopping in the store. “It’s bad for the consumer who doesn’t make above a middle class income. Where else are they going to go?”

In addition to the San Jose stores tagged for closure, locations in Santa Clara and Colma will be shut down as well. Devoted Kmart shoppers will soon have to travel outside San Jose to the remaining 18 Bay area locations, including Pleasant Hill, Leandro, San Mateo, Hayward and Fairfield.

For some at the Blossom Hill location, this will be the first time in nearly three decades they will be out of a job. Yet, according to Pagnani, those who stay on through the clearance will be eligible for paid benefits. “Many go to other stores typically when a store closes,” he admitted. “The others will be offered assistance with future job placements.” In all, 237 employees will be displaced by the two San Jose closings.

“We will survive,” added Kmart employee Angelita while fighting back a tear. “There’s jobs out there—you just have to look.”