A listing of 68 Macy’s stores slated to be closed in 2017 does not include the firm’s Dover Mall locations, but area shoppers should not breathe a sigh of relief just yet.
The Macy’s company said last year it intends to close at least 100 stores, and information released by the company Jan. 4 indicates the stores listed by the company will not be the last.
The closings will affect about 3,900 jobs, and a company-wide restructuring will mean the loss of an additional 6,200 positions.
One Jan. 5, Sears Holdings announced it would shutter 109 Kmart stores throughout the country as well as 41 Sears stores.
None of the closings will be in Delaware, according to the announcement
Macy’s: sales down in Nov/Dec
The actions announced on Wednesday will save the company about $550 million beginning in 2017 and will allow it to invest about $250 million in its digital businesses.
The company also will generate cash by selling some of its properties.
In a separate statement, the company announced comparable sales for the stores it owns declined by more than two percent in November and December compared to the same period in 2015.
The planned closings and terminations are expected to increase the company’s market share and increase growth, Macy’s CEO and chairman Terry J. Lundgren said in a press release.
“While we are pleased with the strong performance of our highly developed online business, as well as the progress we have made on selling and visual presentation programs and expense reduction initiatives in 2016, we continue to experience declining traffic in our stores where the majority of our business is still transacted,” Lundgren said.
“These are never easy decisions, and we are committed to treating associates affected by these closings with respect and transparency,” Lundgren added.
The company already closed three stores in 2016, and had previously announced the closure of six others for early 2017. The remainder should be shut down by the end of 2017.
The firm has announced four new Macy’s and Bloomingdales to be opened by the fall of 2019 as well as stores in Kuwait and the United Arab Emirates.
Currently Macy’s operates about 880 stores in the United States, Guam and Puerto Rico; it operates under the names Macy’s Bloomingdale’s, Bloomingdale’s Outlet, Macy’s Backstage and Bluemercury.
In addition to the Dover Mall, there are Macy’s stores in Delaware at the Christiana Mall and Concord Mall; they also were not on the announced closure list.
Sears: stores have been struggling
In its Jan. 5 announcement, Sears holdings CEO Eddie Lampert said the company had told employees at 78 Kmart stores and 26 Sears stores the day before about the closings, which would take place in the spring. On Dec. 27, it had told workers at another 30 Kmart and 16 Sears stores they also would be unemployed as of this spring.
Liquidation sales will begin as early as Jan. 6 at all 150 stores.
Also on Jan. 5, Sears holdings announced it would sell its iconic Craftsman tool brand to Stanley Black and Decker for a total of $900 million.