Macy’s announced it would close an additional 11 stores this year in an effort to continue improvements in organizational efficiency and to allocate resources to support its growth strategy.
With these closures, the company said it will have completed 81 of the approximately 100 planned store closures announced in 2016. Macy’s plans to close approximately 19 more stores as leases, operating agreements expire or sale transactions are completed, according to a press release.
The closures are part of a multi-year effort by the company to ensure the optimal mix of brick-and-mortar stores and its digital footprint. Including the store closures announced today, Macy’s has closed 124 stores since 2015.
Other changes include staffing adjustments across the stores organization and reductions in some stores and increases in others along with further streamlining in some non-store functions, according to a press release.
The company expects annual expense savings of $300 million from these actions beginning in fiscal-year 2018, which it intends to reinvest in the business. The company anticipates one-time charges of approximately $160 million from fourth quarter 2017 for restructuring activities, asset impairment, store closings and other costs.