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Peavey Mart confirms all 90 stores will be closing

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From Retail Insider

 
Sources have confirmed to Retail Insider that Peavey Mart, a Canadian retail chain known for its agricultural supplies, hardware, and home improvement products, is closing all of its stores nationwide. Liquidation sales began on the weekend. The store closures include the flagship location in Red Deer, Alberta, where the company’s headquarters are also based. This marks a significant and surprising turn of events for a company with deep roots in Canadian retail, dating back to its establishment in Winnipeg in 1967.

(Update: Peavey Industries confirmed store closures on Monday evening in a press release)

A Legacy of Growth and Acquisitions

Peavey Mart has long been a staple for rural and small-town communities, catering to farmers, ranchers, and homeowners. Over the years, the company expanded from its Western Canada base into Ontario and other regions, particularly following its acquisition of TSC Stores in 2016. That move helped establish Peavey Mart as a household name in Ontario, diversifying its reach and bolstering its product offerings. It was also a huge expense.

In 2020, the company further broadened its scope by acquiring the Canadian master license for Ace Hardware from Lowe’s-owned RONA Inc., adding 107 Ace Hardware locations to its portfolio. This strategic acquisition was part of Peavey Industries’ efforts to compete in the hardware and home improvement sector against larger rivals like Home Depot and Canadian Tire.

However, Peavey’s relationship with Ace Hardware International came to an end in 2024, following the announcement that the partnership would cease on December 31, 2024. This decision marked a turning point for the company, forcing it to refocus on its Peavey Mart and MainStreet Hardware brands.

Financial Struggles and Early Signs of Trouble

Last week, Peavey Industries announced plans to shutter 22 underperforming Peavey Mart locations in Ontario and Nova Scotia by the end of April. At the time, the closures were presented as part of an organizational restructuring aimed at stabilizing the business and positioning it for future growth.

Doug Anderson, President and CEO of Peavey Industries, addressed the challenges in a previous statement:

“The Canadian retail environment has undergone significant disruptions in recent years, and Peavey has not been immune to these challenges. These closures are a challenging yet necessary step to stabilize and position our business for future growth.”

Despite these efforts, it now appears the company’s financial difficulties have proven insurmountable, leading to the closure of all 90+ stores across Canada.

Liquidation signs at Peavey Mart’s Red Deer store on Saturday, January 25. Photo: Joel Graham via Facebook

Financing and Restructuring Efforts Fall Short

In its bid to remain viable, Peavey Industries had secured a CAD $155 million financing package from Gordon Brothers. The package included a $105 million revolving credit facility, a $30 million term loan, and a $20 million consignment program. This financial injection was intended to facilitate restructuring efforts, support ongoing operations, and provide a lifeline to the struggling retailer.

Additionally, Peavey Industries collaborated with Gordon Brothers to ensure a smooth transition for affected employees and communities. However, these measures were ultimately insufficient to save the business.

Impact on Communities and Employees

The closure of Peavey Mart will leave a significant void in the Canadian retail landscape, particularly in rural and small-town markets where the chain has long been a trusted resource for agricultural and home improvement needs. The closures are also a major blow to the company’s workforce across the country.

While Peavey Industries initially expressed a commitment to supporting its employees during the transition, the abrupt announcement of a full shutdown leaves many workers and communities grappling with uncertainty.

Image: Peavey Mart
Image: Peavey Mart

A message from the Peace River Manager

In a heartfelt statement shared on Facebook, the manager of the Peace River, Alberta, Peavey Mart location expressed regret about the closures. The post sheds light on the situation and offers a glimpse into the company’s struggles over recent years. The manager wrote:

“Peace River Community,

It is with regret that I inform you of the upcoming closure of Peace River Peavey Mart, along with all other Peavey Mart locations across Canada. While many details are being kept confidential, I will keep you updated as we receive more information from the corporate team. At this time, I do not have a time frame; my best guess is 3 to 6 months.

Until an official statement is released by the company, I can only offer my personal perspective on the situation. Since 2016, Peavey Mart has expanded rapidly, acquiring over 70 stores in Eastern Canada, opening new stores, and acquiring several other businesses. However, growth was met with challenges, including a decline in business levels and rising interest rates. Unfortunately, many of the acquired stores did not prove profitable, and the company’s efforts to adjust did not have the desired results.

As a last resort, Peavey partnered with Gordon Brothers, an American investment firm, which I believe now holds a majority stake in the company and are making all decisions going forward. It appears the current plan may be to liquidate and close all locations, with potential rebranding, though which stores will remain open is still uncertain.

Please note that this is my personal opinion, and I am sharing it to help clarify the situation for our valued customers. I kindly ask that you direct any concerns toward our corporate offices, as these decisions are beyond the control of the staff here in the store.

We have worked diligently to serve you, and we appreciate your understanding during this time. It’s difficult to come to terms with the closure of so many profitable locations in Western Canada, with Peace River being one of the most notable. The Peace River location recently achieved top sales growth company-wide, consistently delivering a healthy profit despite Peavey’s constant inventory challenges.

I would like to express my sincere gratitude to all of our customers. It has been a pleasure serving the Peace River community, and I will miss it when our time here comes to an end. If you have any questions, please feel free to visit the store, and I will do my best to provide answers. At the current moment, the company has told us they are not ready to make a statement yet.”

Update: Press Release from Peavey Industries

Peavey Industries confirmed Monday evening that all Peavey Mart stores will be closing. The following is the press release that was forwarded by email to Canadian media sources:

Red Deer, Alberta – January 27, 2025 – Peavey Industries LP (“Peavey” or “the Company”), Canada’s largest farm and ranch retail chain, announced today that it has sought and obtained an Initial Order for creditor protection under the Companies’ Creditors Arrangement Act (CCAA) from the Court of King’s Bench Alberta.

Following the recently announced closures of 22 stores in Ontario and Nova Scotia, the Company will now begin store closing sales at all remaining locations across Canada. This includes 90 Peavey Mart stores and six MainStreet Hardware locations. The closures and liquidation efforts will commence immediately.

The decision to seek creditor protection and close all stores was made after thorough evaluation of available options, in consultation with legal and financial advisors. The Canadian retail industry is experiencing unprecedented challenges, including record-low consumer confidence, inflationary pressures, rising operating costs, and ongoing supply disruptions along with a difficult regulatory environment. These factors have created significant obstacles for businesses like Peavey.

“This was a profoundly difficult decision, but one that allows us to explore the best possible alternatives for the future of the Company,” said Doug Anderson, President and CEO of Peavey Industries LP. “For nearly six decades, our customers’ loyalty, employees’ dedication, and the resilience of the communities we serve have been the cornerstone of our business. We remain focused on working with our partners and stakeholders to preserve the Peavey brand and the value it represents.”

The Company’s immediate priority is to generate liquidity through the closure process while continuing to work with funders, partners, and stakeholders to explore potential opportunities to preserve the brand.

Peavey Industries LP is committed to providing regular updates as the situation develops.”

Craig Patterson
Craig Patterson
Located in Toronto, Craig is the Publisher & CEO of Retail Insider Media Ltd. He is also a retail analyst and consultant, Advisor at the University of Alberta School Centre for Cities and Communities in Edmonton, former lawyer and a public speaker. He has studied the Canadian retail landscape for over 25 years and he holds Bachelor of Commerce and Bachelor of Laws Degrees.

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Long Ignored Criminal Infiltration of Canadian Ports Lead Straight to Trump Tariffs

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Sam Cooper

Briefings to Liberal Government on Chinese Infiltration of Vancouver Port and Canada’s Opioid Scourge Ignored

Trump Tariffs Loom as Critics Decry Ottawa’s “Fox in the Hen House” Approach to Border Security

As President Donald Trump readies sweeping tariffs against Canada on Saturday—citing Ottawa’s failure to secure its shared North American borders from fentanyl originating in China—The Bureau has obtained a remarkable December 1999 document from a senior law enforcement official, revealing Ottawa’s longstanding negligence in securing Vancouver’s port against drug trafficking linked to Chinese shipping entities.

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The letter, drafted by former Crown prosecutor Scott Newark and addressed to Ottawa’s Security Intelligence Review Committee (SIRC), urged the body to reconsider explosive findings from a leaked RCMP and CSIS report detailing the infiltration of Canada’s “porous” borders by Chinese criminal networks.

Titled “Re: S.I.R.C. Review in relation to Project Sidewinder,” Newark’s letter alleges systemic failures that enabled Chinese State Council owned shipping giant COSCO and Triads with suspected Chinese military ties to penetrate Vancouver’s port system. He further asserts that federal authorities ignored repeated briefings and warnings from Canadian law enforcement—warnings based on intelligence gathered by Canadian officials in Hong Kong, who initiated the Sidewinder review.

Newark also warned that Liberal Prime Minister Jean Chrétien’s decision to dismantle Canada’s specialized Ports Police and privatize national port control had left the country dangerously exposed to foreign criminal networks, noting he had personally briefed the Canadian government on these concerns as early as 1996.

Addressing his letter to SIRC’s chair, Quebec lawyer Paule Gauthier, Newark wrote:

“As the former (1994-98) Executive Officer of the Canadian Police Association, I was assigned responsibility for dealing with the issue of the federal government’s changes to control of the national ports and policing therein.”

“This involved close examination of matters such as drug, weapon, and people smuggling through the national ports and, in particular, both the growing presence of organized criminal groups at ports and the ominous hazard control of those ports by such groups represented.”

Newark’s letter goes on to allege widespread failures in Ottawa that facilitated Chinese Triad infiltration of Vancouver’s port, revealing federal authorities’ reluctance to act on warnings from RCMP officer Garry Clement and immigration control officer Brian McAdam—former Canadian officials based in Hong Kong who had sounded the alarm, prompting the Sidewinder review.

Newark explained to SIRC’s chair that, during his tenure as Executive Officer of the Canadian Police Association, he prepared approximately fifty detailed policy briefs for the government and regularly appeared before parliamentary committees and in private ministerial briefings.

“I can assure you that in all of that time, no clearer warning was ever given by Canada’s rank and file police officers to the national government than what was done in our unsuccessful attempt to prevent the disbandment of the specialized Canada Ports Police in combination with the privatization of the ports themselves,” Newark’s letter to SIRC states.

The letter continues, noting that in October 1996, Newark met with Chrétien’s Transport Minister David Anderson—later addressing the Transport Committee—to highlight the imminent threat posed by Asian organized crime’s infiltration of port operations. Newark’s written briefing to the Minister underscored the gravity of the situation with a blunt question:

“Who exactly are the commercial port operators?”

Citing the Anderson briefing document, Newark’s letter to SIRC states that Anderson had been warned:

“We are, for example, aware of serious concerns amongst the international law enforcement community surrounding the ownership of ports and container industries in Asia and, in particular, Hong Kong, Taiwan, and the People’s Republic of China. There is simply no longer any doubt that drugs like heroin are coming from these destinations through the Port of Vancouver, moved by organized criminal gangs whose assets include ‘legitimate’ properties.”

The Anderson briefing also referenced a British Columbia anti-gang unit report, titled “Organized Crime on Vancouver Waterfront,” which made clear that the Longshoreman’s Union had been infiltrated by the Hells Angels.

“The movement of goods through Canada’s ports requires an independence in policing that is impossible without public control,” the report warned.

It concluded:

“This report should be taken as a specific warning to this Government that, prior to downloading operational control over the ports themselves to private interests, Government be absolutely certain as to who owns what—and that it can continue that certainty with power to refuse acquisition of port assets in the future.”

Scott Newark’s letter to SIRC then turns to new intelligence—gathered from Canadian and U.S. officials—that further underscored the vulnerability created by Chrétien’s border policies.

“To now learn that law enforcement and public officials in Canada and the United States have linked a company (COSCO), granted docking and other facilities in Vancouver, to Asian organized crime, arms and drug smuggling is, to say the least, disturbing,” Newark’s December 1999 letter states.

“That this company, its principals, subsidiaries, and partners have been associated with various military agencies of a foreign government—agencies themselves identified by Canadian and American officials as having unhealthy connections to Triad groups—makes a bad situation even worse.”

Newark next addressed the broader implications of Canada’s failure to enforce border security, particularly in relation to the deportation of foreign criminals—a process he had sought to reform while serving with the Canadian Police Association.

Drawing on his experience, he described a deeply flawed immigration enforcement system, one that allowed individuals with serious criminal records to remain in Canada indefinitely. The problem, he wrote, was twofold: not only were foreign criminals able to enter Canada with ease, but authorities also failed to deport those with outstanding arrest warrants.

Newark recounted how, in 1996, a Cabinet Minister requested that he meet with Brian McAdam, a former senior foreign service officer in Hong Kong who had spent years uncovering organized crime’s grip on Canada’s immigration system. McAdam’s detailed revelations, he wrote, had directly led to the launch of Project Sidewinder.

Newark told SIRC that even after leaving the Canadian Police Association in 1998, he remained in contact with McAdam and other officials working to expose this vast and complex national security risk posed by foreign criminal networks.

It was this ongoing communication that led to an even more alarming discovery. Newark wrote that he was stunned to learn that Canada’s government had not only terminated Project Sidewinder but had gone so far as to destroy some related files.

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Newark suggests SIRC’s chair, in her review of Sidewinder, should determine whether “Sidewinder should not have been cancelled … why such inappropriate action was taken and at whose direction this was done.”

He concludes that SIRC should also freshly examine why intelligence reporting from the Canadian officials in Hong Kong, Brian McAdam and Garry Clement had been ignored in Ottawa.

Newark’s letter to SIRC says these failures to act on intelligence included the “Inappropriate granting of visas to Triad members or associates” and “Granting of docking facilities with attendant consequences to COSCO”—and “Failure of CIC and Foreign Affairs to respond appropriately to the various information supplied by McAdam and Clement in relation to material pertaining to Sidewinder.”

In an exclusive interview with The Bureau, Garry Clement, who contributed to investigations referenced in Newark’s letter, corroborated many of its claims and provided further insight. Clement recalled his role in Project Sunset, a 1990s investigation into Chinese Triads’ efforts to gain control over Vancouver’s ports.

“I can remember having a discussion with Scott when he wrote that to SIRC because Scott and I go back a long time,” Clement said. “I knew about him writing on it, but I knew it was also buried.”

He described his own intelligence work during the same period:

“I wrote in the nineties when I was the liaison officer in Hong Kong, a very long intelligence brief on the Chinese wanting to basically acquire or build out a port at the Surrey Fraser Docks area. And it was going to be completely controlled by that time, with Triad influence, but it was going to be controlled by China.”

Clement expressed frustration that decades of warnings had gone unheeded:

“The bottom line is that here we are almost 40 years later, talking about an issue that was identified in the ‘90s about our ports and allowing China to have free access—and nothing has been done over that period of time.”

Newark’s urgent recommendation for SIRC to reconsider Sidewinder’s warnings on Vancouver’s ports was never acted upon.

“We still don’t have Port Police. We got nobody overseeing them,” Clement added. “The ports themselves, it’s sort of like putting a fox in the hen house and saying, ‘Behave yourself.’”

Finally, when asked about the Trudeau government’s claim this week that Canada is responsible for only one percent of the fentanyl entering the United States—a figure reported widely in Canadian media—Clement’s response was unequivocal.

“The fact that we’ve become a haven for transnational organized crime, it’s internationally known,” he said. “So when I read that, with the fentanyl—Trump is wrong in that there’s less than 1% of our fentanyl going to the United States. That’s a crock of shit. If you look at the two super labs that were taken down in British Columbia—I think there’s three now—the amount they were capable of producing was more than the whole Vancouver population could have used in 10 years. So we know that Vancouver has become a transshipment point to North America for opiates and cocaine and other drugs because it’s a weak link, and enforcement is not capable of keeping up with transnational organized crime.”

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That opinion is evidently acknowledged by British Columbia Premier David Eby, according to documents from Canada’s Foreign Interference Commission that say Eby sought meetings with Justin Trudeau’s National Security Advisor.

A record from the Hogue Commission, sanitized for public release, outlines the “context and drivers” behind Eby’s concerns, including “foreign interference; election security; countering fentanyl, organized crime, money laundering, corruption.”

The documents state Ottawa’s Privy Council Office—which provides advice to Justin Trudeau’s cabinet—had recommended that British Columbia continue to work with the federal government on initiatives like the establishment of a new Canada Financial Crimes Agency to bolster the nation’s ability to respond swiftly to complex financial crimes.

Additionally, the PCO highlighted that Canada, the United States, and Mexico were supposedly collaborating on strategies to reduce the supply of fentanyl, including addressing precursor chemicals and preventing the exploitation of commercial shipping channels—a critical area where British Columbia, and specifically the Port of Vancouver, plays a significant role.

Eby acknowledged the concerns again this week in an interview with Macleans.

“I understood Trump’s concerns about drugs coming in. We’ve got a serious fentanyl problem in B.C.; we see the precursor chemicals coming into B.C. from China and Mexico. We see ties to Asian and Mexican organized crime groups. We’d been discussing all of that with the American ambassador and fellow governors. That’s why it was such a strange turnaround, from ‘Hey, we’re working together on this!’ to suddenly finding ourselves in the crosshairs.”

Yet, despite Eby’s claims of intergovernmental efforts, critics—including Garry Clement—argue that nothing has changed. Vancouver’s port remains alarmingly vulnerable, a decades-old concern that continues to resurface as fentanyl and other illicit drugs flood North American markets.

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Ottawa’s “Net Zero” emission-reduction plan will cost Canadian workers $8,000 annually by 2050

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From the Fraser Institute

Ross McKitrick.jpg

Ross McKitrick

Professor of Economics, University of Guelph

Canada’s Path to Net Zero by 2050: Darkness at the End of the Tunnel

The federal government’s plan to achieve “net zero” greenhouse gas emissions will result in 254,000 fewer jobs and cost workers $8,000 in lower wages by 2050, all while failing to meet the government’s own emission-reduction target, finds a new study published today by the Fraser Institute, an independent, nonpartisan Canadian public policy think-tank.

“Ottawa’s emission-reduction plan will significantly hurt Canada’s economy and cost workers money and jobs, but it won’t achieve the target they’ve set because it is infeasible,” said Ross McKitrick, senior fellow at the Fraser Institute and author of Canada’s Path to Net Zero by 2050: Darkness at the End of the Tunnel.

The government’s Net Zero by 2050 emission-reduction plan includes: the federal carbon tax, clean fuel standards, and various other GHG-related regulations, such as energy efficiency requirements for buildings, fertilizer restrictions on farms, and electric vehicle mandates.

By 2050, these policies will have imposed significant costs on the Canadian economy and on workers.

For example:

• Canada’s economy will be 6.2 per cent smaller in 2050 than it would have been without these policies.
• Workers will make $8,000 less annually.
• And there will be 254,000 fewer jobs.

The study also shows that even a carbon tax of $1,200 per tonne (about $2.70 per litre of gas) would not get emissions to zero. Crucially, the study finds that the economically harmful policies can’t achieve net-zero emissions by 2050 and will only reduce GHG emissions by an estimated 70 per cent of the government’s target.

“Despite political rhetoric, Ottawa’s emission-reduction policies will impose enormous costs without even meeting the government’s target,” McKitrick said.

“Especially as the US moves aggressively to unleash its energy sector, Canadian policymakers need to rethink the damage these policies will inflict on Canadians and change course.”

  • The Government of Canada has committed to going beyond the Paris target of reducing greenhouse gas (GHG) emissions to 40 percent below 2005 levels as of 2030 and now intends to achieve net zero carbon dioxide (CO2) emissions as of 2050. This study provides an outlook through 2050 of Canada’s path to net zero by answering two questions: will the Government of Canada’s current Emission Reduction Plan (ERP) get us to net zero by 2050, and if not, is it feasible for any policy to get us there?
  • First, a simulation of the ERP extended to 2050 results in emissions falling by approximately 70 percent relative to where they would be otherwise, but still falling short of net zero. Moreover, the economic costs are significant: real GDP declines by seven percent, income per worker drops by six percent, 250,000 jobs are lost, and the annual cost per worker exceeds $8,000.
  • Second, the study explores whether a sharply rising carbon tax alone could achieve net zero. At $400 per tonne, emissions decrease by 68 percent, but tripling the carbon tax to $1,200 per tonne achieves only an additional 6 percent reduction. At this level, the economic impacts are severe: GDP would shrink by 18 percent, and incomes per worker would fall by 17 percent, compared with the baseline scenario.
  • The conclusion is clear: Without transformative abatement technologies, Canada is unlikely to reach net zero by 2050. Even the most efficient policies impose unsustainable costs, making them unlikely to gain public support.

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Ross McKitrick.jpg

Ross McKitrick

Professor of Economics, University of Guelph
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