Macy's announces closure of 36 stores, layoffs after slow holiday sales

NEW YORK, Jan. 7 (UPI) -- Retailer Macy's Inc. announced the elimination of more than 4,500 jobs and the closure of 36 stores after disappointing sales during the holiday season.

It said Wednesday it would initiate "a series of cost-efficiency and process-improvement measures" by reducing the workforce at each of about 770 Macy's and Bloomingdale's stores, closing other stores, and offering a "voluntary separation opportunity" to some senior executives. The downsizing actions are set to begin early this year.

Sales in November and December were down 4.7 percent compared to the same period last year, caused largely, Macy's CEO Terry Lundgren said, by unseasonably warm weather and lower spending by foreign tourists. He added 80 percent of the sales decline could be blamed on the inability to successfully sell cold-weather clothing.

A company statement said online orders increased 25 percent in November and December over last year, and that Macy's would continue investing in online and mobile shopping.

The Macy's stores set to close include: Irvine Spectrum, Irvine, Calif.; Country Club Plaza, Sacramento; Westfield Century City, Los Angeles; Enfield Square main store, Enfield, Conn.; Enfield Square furniture/home/men's store, Enfield, Conn.; North DeKalb Mall, Decatur, Ga.; Kailua, Hawaii; Palouse Mall, Moscow, Idaho; Northwoods Mall, Peoria, Ill.; Cortana Mall, Baton Rouge, La.; Valley Mall, Hagerstown, Md.; Berkshire Mall, Lanesborough, Mass.; Eastfield Mall, Springfield, Mass.; The Shoppes at Stadium, Columbia, Mo.; Middlesex Mall, South Plainfield, N.J.; McKinley Mall main store, Buffalo; McKinley Mall home store, Buffalo; Arnot Mall, Horsehead, N.Y.; Hudson Valley Mall, Kingston, N.Y.; Eastern Hills Mall, Williamsville, N.Y.; Cary Towne Center, Cary, N.C.; Chapel Hill Mall, Akron, Ohio; Midway Mall, Elyria, Ohio; Quail Springs Mall, Oklahoma City; Pony Village Mall, North Bend, Ore.; Roseburg Valley Mall, Roseburg, Ore.; Suburban Square, Ardmore, Pa.; Century III Mall, West Mifflin, Pa.; Ridgmar Mall, Fort Worth, Texas; Chesapeake Square, Chesapeake, Va.; Virginia Center Commons, Glen Allen, Va.; Peninsula Town Center, Hampton, Va.; Military Circle Mall, Norfolk, Va., and Regency Square main store, Richmond, Va.