Lowe’s axes Orchard Supply Hardware

Orchard Supply Hardware, a home improvement and gardening store founded by San Jose farmers in 1931, will be shutting down all 99 of its stores by next year, parent company Lowe’s reported Wednesday.

The business began as a farmer’s cooperative on Basset Street in Downtown San Jose, according to the company, and opened its first store outside of Santa Clara County in Capitola in 1973.

Lowe’s acquired OSH in 2013 and the business currently has locations throughout California, Iowa and Florida.

The announcement came in an earning’s report released today, which said Lowe’s was closing OSH to focus on its own “core home improvement business.”

Closing stores will now have liquidation sales to clear out merchandise and all employees of OSH will be given priority for new positions at the parent company, according to the Lowe’s.

“While it was a necessary business decision to exit OSH, decisions that impact our people are never easy,” Lowe’s President and CEO Marvin Ellison said in a statement.