Macy's to close 150 stores, or about 30% of its locations

[mystery-ak]

Macy's to close 150 stores, or about 30% of its locations
moneywatch

By Aimee Picchi

Edited By Alain Sherter

Updated on: February 27, 2024 / 11:45 AM EST / CBS News

Macy's on Tuesday said it plans to close roughly 150 underperforming stores over the next three years, the struggling retailer's latest effort to energize its business as it seeks to fend off a proposed takeover by activist investors.

The department store chain said it plans to focus on expanding its luxury brands, Bloomingdale's and Bluemercury. Macy's will shutter 50 stores over the next year. Overall, the restructuring plan will leave Macy's with 350
outlets. In an email to CBS MoneyWatch, Macy's said it isn't disclosing the locations that will be closed.

The announcement of the store closures comes after Macy's last month rejected a $5.8 billion takeover offer from investing firm Arkhouse Management and its partner Brigade Capital Management. Financial firms have eyed Macy's partly for its multibillion-dollar real estate portfolio, which some say is undervalued in the stock market.

With this new plan coming just weeks after Macy's rebuffed the offer, the overhaul is designed to offer "a positive narrative" that "is desperately needed to reassure investors," noted Neil Saunders, an analyst at GlobalData, in a Tuesday research note.

Macy's CEO Tony Spring, who stepped into the role this month after leading Bloomingdale's for nine years, said the plan to close the underperforming stores will eventually help Macy's to stabilize its sales, with a focus on customer service and updated product lines.

more
https://www.cbsnews.com/news/macys-closing-150-stores-locations/

[mountaineer]

I haven't been able to find a list of stores to be closed. Used to shop there all the time, but the locations closest to me already have closed. The ones remaining - both around 45 miles away - don't seem to have the quality merchandise they used to carry.

[Smokin Joe]

Financial firms have eyed Macy's partly for its multibillion-dollar real estate portfolio, which some say is undervalued in the stock market.

Geez, just as Trump allegedly fraudulently under/overvalued his patches of dirt with stuff on them..


Apparently, value is in the eye of the beholder.

[Wingnut]

I'd rather shop at Gimbel's. They had a better Santa

[Smokin Joe]

I'd rather shop at Gimbel's. They had a better Santa

Seems the (Thanksgiving Day) parade went downhill, too.

[Wingnut]

Seems the (Thanksgiving Day) parade went downhill, too.

The last one was wokeashell.

[libertybele]

I haven't been able to find a list of stores to be closed. Used to shop there all the time, but the locations closest to me already have closed. The ones remaining - both around 45 miles away - don't seem to have the quality merchandise they used to carry.

I've looked at several websites announcing the closings and it is being reported that Macy's has not yet released a list of those stores closing.

I used to shop their often, but the mall that it is in is no longer a safe area to shop.  They tried to revitalize the mall once without much success.  It's a shame what is happening to the once solid brick and mortar stores.

Quality has gone down hill especially in many retail stores. Prices are higher that's for sure. Things just aren't the same; especially since the pandemic destroyed so much of our economy.

[DefiantMassRINO]

The announcement of the store closures comes after Macy's last month rejected a $5.8 billion takeover offer from investing firm Arkhouse Management and its partner Brigade Capital Management. Financial firms have eyed Macy's partly for its multibillion-dollar real estate portfolio, which some say is undervalued in the stock market.

Could this be a canary in the Real Estate / Financial Sector coal mine?

That's what Eddie Lampert thought about Sears and K-Mart.  He bought them just in time for the 2008/2009 Financial Crisis.

[mountaineer]

San Francisco:

Richie Greenberg
@greenbergnation
This is a big deal.
Macys Union Square SF closing, a massive blow the the city’s retail core, employment, draw for shoppers, restaurants. Further signs the weak economy, organized theft, online competition are taking its toll.
2:11 PM · Feb 27, 2024

[Wingnut]

San Francisco:

Richie Greenberg
@greenbergnation
This is a big deal.
Macys Union Square SF closing, a massive blow the the city’s retail core, employment, draw for shoppers, restaurants. Further signs the weak economy, organized theft, online competition are taking its toll.
2:11 PM · Feb 27, 2024

On the plus side less foot traffic to disturb the illegal's and homeless in their natural habitat.

[catfish1957]

Sad to see any brick and mortar business suffer.  Still no doubt that the mail order, Amazon phenmenom is killing 'em.  That is why I tell everyone, if you value being able to put your hands on a purchase befre buying, it might be worth spending an exta 5%-10% at the store instead of helping Amazon make them extinct.

[mountaineer]

UPDATE Jan. 10, 2025 - More stores closing

Click on link for full article and list of stores that are closing.

Macy’s closings: Even more stores shuttering in 2025. See the full list of 66 stores, including 1 in N.J.
Story by Katherine Rodriguez, nj.com via MSN

Macy’s is closing 66 stores starting in January as a part of its “A Bold New Chapter” plan.

The company announced this latest development Thursday as it struggles to keep up in the retail market as a result of declining sales, according to a statement from Macy’s.

However, the plan for Macy’s to close even more stores than in 2024 is nothing new. The closures are part of the department store chain’s plan to shutter 150 stores by 2026, which the company announced during second-quarter earnings call on Aug. 21.

Macy’s chairman and CEO Tony Spring said in a statement the closings are part of the retailer’s broader strategy to close underperforming stores and “focus our resources and prioritize investments in our go–forward stores.” ...

[rustynail]

It's a parade of closures.

[libertybele]

Sad to see any brick and mortar business suffer.  Still no doubt that the mail order, Amazon phenmenom is killing 'em.  That is why I tell everyone, if you value being able to put your hands on a purchase befre buying, it might be worth spending an exta 5%-10% at the store instead of helping Amazon make them extinct.

I agree.  Amazon and AI are going to continue to cause people to lose their jobs. We don't have too many brick and  mortar businesses left, but Macy's is in the next town over and I probably haven't been there in 10 years. It's a half hour away and I no longer have a need for business attire.

[mountaineer]

I agree.  Amazon and AI are going to continue to cause people to lose their jobs. We don't have too many brick and  mortar businesses left, but Macy's is in the next town over and I probably haven't been there in 10 years. It's a half hour away and I no longer have a need for business attire.

I used to buy a lot of business attire at Macy's. There used to be a few stores within a reasonable driving distance, but after the closures of the past few years, the closest one remaining is a good 50 minutes away.

[libertybele]

I used to buy a lot of business attire at Macy's. There used to be a few stores within a reasonable driving distance, but after the closures of the past few years, the closest one remaining is a good 50 minutes away.

50 minutes to drive to a Macy's, isn't worth the gas to get there.  I shop mainly for shorts and t-shirts  -- a couple pairs of long pants and long-sleeve shirts and I'm all set.  I really don't need any new clothing.

[berdie]

It is sad in a way. Brick and Mortar seem to be a thing of the past. I'm guilty of assisting in that death. I shop almost exclusively on line. (except groceries) 

[mountaineer]

If I still had to wear business-appropriate attire, buying online would be difficult. I really need to try everything on first. (Yes, I know - picky).

[berdie]

If I still had to wear business-appropriate attire, buying online would be difficult. I really need to try everything on first. (Yes, I know - picky).

Agreed. But since I'm retired, casual and nighties are no biggie.

[DCPatriot]

I used to buy a lot of business attire at Macy's. There used to be a few stores within a reasonable driving distance, but after the closures of the past few years, the closest one remaining is a good 50 minutes away.

The young lady across the hall from me even has her groceries delivered...don't think she's set foot inside a retail outlet in a dog's age.

[mountaineer]

Kohl's closing some stores, too: https://triblive.com/news/wire-stories/kohls-to-close-27-stores-by-april-as-struggling-department-stores-works-to-improve-sales/

[GtHawk]

Kohl's closing some stores, too: https://triblive.com/news/wire-stories/kohls-to-close-27-stores-by-april-as-struggling-department-stores-works-to-improve-sales/

Kohl’ is following in the footsteps of Mervyn’s.

[libertybele]

Kohl's closing some stores, too: https://triblive.com/news/wire-stories/kohls-to-close-27-stores-by-april-as-struggling-department-stores-works-to-improve-sales/

That's the only 'department store' we have left in our town.  I checked the list and they are not due to close.

They have unfortunately greatly diminished the size of their clothing section with 'Sephora' which sells makeup.  It makes absolutely no sense to me especially since we have a huge 'Ulta' about a mile from there.  How much make-up does one need?  Personally, anymore, I only put make up if I'm going out.  I see no reason to put on makeup if I'm staying home.

[PeteS in CA]

Kohl’ is following in the footsteps of Mervyn’s.

Not exactly. Mervyn's was bought and operated by Target for about 26 years. Target sold them to a "private equity" outfit who sold Mervyn's real estate holding to another division of the outfit who then "leased" the land/building back to Mervyn's at a rate that guaranteed Mervyn's would go bankrupt. The equity company got their profit from the real estate, Mervyn's paid its way into bankruptcy, and long-term employees whose pension $$ was held by Mervyn's got bleeped over.

Last I heard, Kohl's is still not owned by some other company.

List of Kohl's stores being closed, https://www.cnn.com/2025/01/13/business/kohls-store-closures-list/index.html .

The location on Showers Drive in Mountain View is pretty poor, a back corner of a large outdoor mall that also has a Walmart and a Target closer to the main street (El Camino Real).

The store on Christy Street in Fremont doesn't look like a great location, either.

[berdie]

That's the only 'department store' we have left in our town.  I checked the list and they are not due to close.

They have unfortunately greatly diminished the size of their clothing section with 'Sephora' which sells makeup.  It makes absolutely no sense to me especially since we have a huge 'Ulta' about a mile from there.  How much make-up does one need?  Personally, anymore, I only put make up if I'm going out.  I see no reason to put on makeup if I'm staying home.

The only thing I can think of is if they are getting money from Sephora.

I agree...I don't wear make-up any more as a rule. When I put it on it looks funny. I do have a friend that puts on "her face" every day.