Dive Brief:

• Office Depot said that it will close a minimum 400 stores after its merger with OfficeMax, which was finalized in November, the company said Tuesday.

• The closings are due to overlap between the two office supply retailers, and 150 will close this year. All closings will likely be final by the end of 2016.

• The company expects $75 million in savings each year, but did not say how many jobs would be lost.

Dive Insight:

Closing stores in overlapping locations makes perfect sense after the merger between Office Depot and OfficeMax. The question remains whether the remaining stores can stay healthy in a faltering office supply sector.