Macy’s Inc. announced it is closing 68 stores and laying off more than 10,000 people nationwide as part of its ongoing restructuring, although its presence in Fairfield and Westchester Counties will not be affected.
Of the 68 stores (out of a current total of 730 Macy’s), three closed midyear, 63 will be closed in early spring 2017 – including one in Douglaston, Queens – and two will be closed in mid-2017. Three other locations were sold, or are to be sold, and are being leased back. The company said it plans to close approximately 30 additional stores over the next few years as leases or operating covenants expire or sale transactions are completed.
As a result of closing 63 Macy’s stores in early 2017, along with the three closed midyear 2016, the company’s 2017 sales are expected to be negatively impacted by approximately $575 million.
The actions are part of the Cincinnati-based company’s plan to close 100 stores, announced last summer. Macy’s said it estimates the moves will generate annual expense savings of approximately $550 million starting this year, and will enable it to invest an additional $250 million in growing its digital business and store-related growth strategies.
Meanwhile, the company said it was moving ahead with previously announced plans to open four Macy’s and Bloomingdale’s stores over the next couple of years, including the 150,000-square-foot Bloomingdale’s in Norwalk’s SoNo Collection megamall.
That store, expected to provide some 200 jobs, will open in the fall of 2019, the company said; last month, Norwalk Mayor Harry Rilling said expectations were for the 700,000-square-foot mall to open in the spring of 2019.
In addition, over the next two years the company plans to open approximately 50 additional Macy’s Backstage off-price locations (all of which will be inside existing Macy’s stores) and about 50 Bluemercury beauty specialty stores (freestanding and shops inside existing Macy’s stores).