In another signal of a changing landscape for American retailers, Macy's announced a massive restructuring that would involve shuttering 125 department stores, cutting 2,000 jobs and closing three corporate offices. Once a mall staple, Macy's joins a growing list of brick-and-mortar retailers
In another signal of a changing landscape for American retailers, Macy's announced a massive restructuring that would involve shuttering 125 department stores, cutting 2,000 jobs and closing three corporate offices.
As part of the revamped strategy, the retailer said it hopes to focus on digital growth and its website. While Macy's remains profitable, the company's sales have declined in recent years and its stock has fallen by more than 30% over the past year. Shares for other mall outlets like J.C. Penney's and Kohls have similarly fallen over the past year.The news is an"excruciatingly painful reminder of the digitalization of the future of shopping experiences," Eric Schiffer, CEO of the private equity firm Patriarch Organization, which focuses on retail, told ABC News Wednesday.
"All of these moves, the closing of the corporate office, the shuttering of stores, is a Band-Aid on a major systemic problem," he said. "You look at J.C. Penney's, you look at Macy's, you can argue that many more store closings need to happen -- and will likely happen," she added.
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