Macy’s Is Closing Underperforming Stores as Its Turnaround Attempt Continues | Global News Avenue

Macy’s Department Store (medium size) released a list of dozens of “underperforming stores” it plans to close as part of a multi-year turnaround plan, including stores in downtown Philadelphia and downtown Brooklyn.

The first 66 stores the retailer plans to close will reduce its footprint in 22 states, with the most significant layoffs in California, New York, Florida and Texas, according to a list released Thursday. . The stores will have clearance sales for up to 12 weeks before closing, according to Macy’s website.

All told, the retailer plans to close 150 stores over three years as part of its comeback strategy. Announced last February Called “A Bold New Chapter.” The plan also includes investing in smaller stores and adding more Bloomingdale’s and Bluemercury stores.

Macy’s unveils strategy as sales plummet proxy battle from a group of activist investors. (Retailer Encountering the Second Radical Movement Last month after the first failure. )

Macy’s says plan is starting to pay off

Macy’s said its “bold” plan is starting to pay off, with sales improving at stores receiving new investment for three consecutive quarters.

“We are closing unproductive Macy’s stores so we can focus our resources and prioritize investments in our future stores, where customers have responded positively to better products and improved service,” CEO Tony Spring said.

Macy’s sales down nearly 7% year-over-year Comparable sales For the fiscal year ending February 2024, based on owned assets. The company is expected to report its latest full-year results next month; analysts polled by Visible Alpha expect comparable sales to fall 1.6% in the latest year and 0.2% in the year ahead.