Through “A Bold New Chapter,” a new Macy’s strategy, the company intends to dramatically reposition themselves and challenge the status quo. Yet, in order to do so, the company is closing approximately 150 locations.
The company just released confirmation on the closures of 66 Macy’s non-go-forward store locations. Five of them listed are located in NYC, with a total of nine closures in New York State. Macy’s clarified that those selected have been deemed “underproductive locations.”
“Closing any store is never easy, but as part of our Bold New Chapter strategy, we are closing underproductive Macy’s stores to allow us to focus our resources and prioritize investments in our go–forward stores, where customers are already responding positively to better product offerings and elevated service,” said Tony Spring, chairman and chief executive officer of Macy’s, Inc.
All of the approximately 150 store closures will take place over a three-year span that began in 2024. The company will then invest in 350 go-forward Macy’s locations by 2026.
Overall, Macy’s is setting out to strengthen the company’s nameplate, accelerate luxury growth, and simplify and modernize end-to-end operations.
“A Bold New Chapter serves as a strong call to action. It challenges the status quo to create a more modern Macy’s, Inc. We are making the necessary moves to reinvigorate relationships with our customers through improved shopping experiences, relevant assortments and compelling value,” said Tony Spring, chief executive officer, Macy’s, Inc. “Our teams are energized by the work ahead as we accelerate our path to market share gains, sustainable, profitable growth and value creation for our shareholders.”
In addition to investing in 350 go-forward locations, the company will continue to expand their small-format stores. Macy’s expects free cash flow to return to pre-pandemic levels and capital spend to be below 2024 levels in 2025 through these efforts.