Wal-Mart Closing Canadian Sam's Clubs

Wal-Mart Canada will shutter its six existing Sam's Club outlets in Canada this month, citing the fact that the locations "have not met our expectations."

The closures, taking place across southern Ontario, will affect 1,200 jobs, and the company hopes to find places for these employees elsewhere within Wal-Mart.

"Despite our best efforts and the commendable work of our Sam's Club associates, our six clubs have not met our expectations," said Wal-Mart Canada president and CEO David Cheesewright.

Sam's Club has been operating in Canada for five years and in the United States since 1983. It is currently negotiating to sell its stake in five of the six Sam's Club operations to Lowes, a major U.S. home-improvement retailer.

The company plans to increase the number of Supercenters in Canada to 26, including expansions, relocations and new stores, adding to its current total of 312 stores.