Macy’s closing 45 more stores in 2021 as part of its restructuring

Macy’s will shut one other 45 shops this 12 months as a part of a three-year plan geared toward protecting the division retailer chain worthwhile, the corporate stated. 

An organization spokesperson stated Tuesday that Macy’s is “dedicated to rightsizing our retailer fleet” by specializing in excessive trafficked places inside malls. 

“To that finish, we introduced a number of retailer closures in the present day that align to the steerage we supplied in February 2020,” the corporate stated. “These closures carry us nearer to attaining the right combination of mall-based shops.”

The corporate didn’t present a listing of which shops will shut. Nor did it say what number of jobs can be misplaced.

Final 12 months, Macy’s introduced its Polaris technique, which known as for closing 125 shops in what it known as “decrease tier malls” and shedding 2,000 company employees. Underneath the plan, Macy’s stated it would make investments extra in its on-line retailer and cell app, which officers stated account for greater than $6 billion per 12 months in gross sales. One other 80 shops are slated to shut in 2022 and 2023 beneath Polaris. 

Macy’s officers said they count on Polaris will save the corporate about $1.5 billion over the following three years and has saved $600 million in 2020. CEO Jeff Gennette stated final February that Polaris will give Macy’s “sustainable, worthwhile development.”

In its most up-to-date earnings, Macy’s reported $91 million in losses in comparison with the identical interval in 2019. Income for the third quarter of 2020 fell to $4 billion in comparison with $5.1 billion throughout the identical quarter in 2019. 

Macy’s closed 29 stores in 2020 after recording higher-than-expected 2019 vacation season gross sales. The corporate ended 2020 with roughly 540 Macy’s places.