![]() As a result, management began to make changes. Sales began to stagnate during 1992, and the stock price weakened. Same-store sales from one year to the next were growing by only small percentages, and the merchandise mix was not evolving. As Lechters branched out, revenues skyrocketed but profit margins were thin. By the end of fiscal 1993, the number had grown to 567. In January 1990, the company operated 297 stores. "At the beginning of Lechters' big business expansion in 1990," explains analyst Otto Grote of Derby Securities in New York City, "this stock was really hot." After Lechters went public, expansion became a priority. Wall Street welcomed Lechters enthusiastically. Throughout the 1980s, Jonas and Lechter continued to open stores, and by 1989, when they took the company public, they had more than 200. Two years later, with the help of Jonas, the business began operating specialty houseware stores in malls, the first one opening in Rockaway. The company was founded by Al Lechter in 1975 to operate leased houseware and giftware departments in discount department stores. Lechters has long been a name synonymous with housewares, particularly kitchen gadgets like fancy pasta forks and paring knives. "Citing a Failed Bid to Change, Lechters Will Close 166 Stores". ^ a b "Lechters to Close 166 Stores, Cut 725 Jobs".^ a b c d "Where Impulse Buying Hasn't Died".In 2000, it renamed its stores Lechters Thinkkitchen in advertising, but it was not able to convert its stores to the brand when it declared bankruptcy. In later years, the company tried to compete with houseware superstores such as Bed Bath & Beyond and Linens 'n Things by expanding rapidly beyond its original kitchenware specialty, a move which created a cash flow problem and contributed to company's downfall. In 1992, the firm grew to 455 stores in 37 states and finally 490 stores in 41 states by the end of 2000. Two years later, Lechter teamed up with Donald Jonas to change the business by opening a single stand-alone kitchenware speciality store in a Rockaway, New Jersey, shopping mall. In 1975, the firm was started by Albert Lechter as a company that ran housewares departments located in leased space within New Jersey discount stores. It owned the Costless Home Store and Famous Brands Housewares Outlet chains. Its store-brand products used the name Cooks Club. Lechters Housewares was a national chain of kitchen-supply stores in the United States, based in Harrison, New Jersey. Lechters website at the Wayback Machine (archived November 4, 1999)
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