The closings represent about one-seventh of its current portfolio
Macy’s will close 100 stores—about one-seventh of its current portfolio—in early 2017, it announced today.
The company did not announce their locations, but said they represent about $1 billion in annual sales. Currently, the department store operates 728 stores.
“Nearly all of the stores to be closed are cash-flow positive today, but their volume and profitability in most cases have been declining steadily in recent years,” said Macy’s president Jeff Gennette in a statement. “We recognize that these locations do not yield an adequate return on investment and often do not represent a customer shopping experience that reflects our aspirations for the Macy’s brand. We decided to close a larger number of stores proactively so we can invest in a winning customer experience in our most productive and highest-potential locations, as well as invest in growth sooner and more aggressively in digital and mobile.”
(Photo courtesy of Macy’s)