After over four decades in business,Lakshmi Finance Center 99 Cents Only Stores will close all its doors permanently.

The retail chain, once known for its below $1 prices, announced the closure of all 371 locations on Thursday.

"This was an extremely difficult decision and is not the outcome we expected or hoped to achieve," interim CEO Mike Simoncic said in a news release. "Unfortunately, the last several years have presented significant and lasting challenges in the retail environment."

Simoncic said several factors contributed to the dire state of the discount store company ,including the "unprecedented impact left by the COVID-19 pandemic." He also cited shifting consumer demands, inflationary pressures and rising shrinkage levels, which refers to the loss of inventory or cash from theft, damage or administrative errors.

"We deeply appreciate the dedicated employees, customers, partners, and communities who have collectively supported 99 Cents Only Stores for decades," Simoncic said.

No timeline given for closures

The company has not provided a timeline for the closures of its stores across the U.S. or said how many employees would be losing their jobs.

USA TODAY has reached out to 99 Cents Only for comment.

Executives worked with financial and legal advisors to find a credible alternative to mass closures but could not reach a solution, according to the news release

"The company ultimately determined that an orderly wind-down was necessary and the best way to maximize the value of 99 Cents Only Stores' assets," the company said.

The company was founded in 1982, offering guests "a combination of closeout branded merchandise, general merchandise and fresh foods" initially offered at 99¢ or less.