Macy’s to close seven locations, lay off about 5,000 people

Investors bet against the retailer in a big way even before the holiday season

New York Weekend Edition /
Jan.January 07, 2018 05:52 PM

(Credit: AshokaJegroo/Wikimedia Commons, back; Pixabay, front)

Despite a holiday season that saw an improvement in sales — 1 percent increase — the long-standing department store announced last week it would be shuttering seven stores.

The store expects same-store sales to be down up to 2.7 percent, while the company’s total sales are expected to be down nearly 4 percent, reports the Financial Times.

The silver lining for consumers is that liquidation sales start next week, but the closing locations mean 5,000 jobs will disappear — yet another casualty to brick-and-mortar that hasn’t been able to capture the attention of shoppers who increasing buy online.

The move isn’t coming out of the blue to some investors however. Macy’s was the most shorted retailer ahead of the holiday season, according to the Times.

[FT] — Erin Hudson


Related Articles

arrow_forward_ios
1529 3rd Avenue and Banana Republic CEO Mark Breitbard (Google Maps; Getty)

Banana Republic to close Upper East Side store

Banana Republic to close Upper East Side store
The mall was already beset by 18 years of starts and stops (Getty)

Can the American Dream mall survive the pandemic?

Can the American Dream mall survive the pandemic?
Spending outpaced foot traffic because shoppers purchased at the stores they did visit (Getty)

Retail foot traffic tanks on Black Friday

Retail foot traffic tanks on Black Friday
The tax break allows foreign visitors to reclaim a sales tax of 20 percent on items bought in the country for more than £30 (Getty; Unsplash)

UK tax break expiration could hurt struggling retailers

UK tax break expiration could hurt struggling retailers
Istanye Park in Istanbul (Photo via Wikipedia Commons)

Turkish mall valued at $1B in deal with Qatar

Turkish mall valued at $1B in deal with Qatar
Joe Sitt and Charles Scribner’s Sons Building in Midtown (Thor, Google Maps)

Thor’s $150M loan on 597 Fifth heads to special servicing

Thor’s $150M loan on 597 Fifth heads to special servicing
258 8th Avenue (Google, Target)

Target planning yet another NYC store in Chelsea

Target planning yet another NYC store in Chelsea
As workers trade in suits for sweatpants, 1 in 6 dry cleaners has closed or gone bankrupt (Getty)

Pandemic takes drastic toll on dry cleaners

Pandemic takes drastic toll on dry cleaners
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...