Macy's Inc. / FD

About Macy's Inc.

7 W. Seventh St., Cincinnati, Ohio 45202
www.fds.com | 513-579-7000 | Founded: 1830

Industry: Retail | Category: Top Companies Headquartered Outside Region

Last year was a turning point for Federated, which bought rival chain May Department Stores in 2005. May had owned several regional department store names, including Hecht's, Marshall Field's and Filene's, along with Lord & Taylor.
After the acquisition, Federated faced the daunting task of merging the two companies' headquarters and support offices throughout the country. It also shut down dozens of stores in malls where it was competing against itself. Its biggest challenge may be in getting shoppers to adjust to the change. On Sept. 9, after months of remodeling and remerchandising, Federated converted the nameplates on all of its stores to Macy's or Bloomingdale's. Hecht's was gone forever.
Federated celebrated the name change with elaborate store events, attempting to connect customers with its iconic brand. Still, sales at former May stores have lagged behind other Macy's stores, with home goods proving particularly tough.
The retailer sold the Lord & Taylor chain in October to private investors NRDC Equity Partners, a partnership between Apollo Real Estate Advisors and National Realty & Development. They paid $1.1 billion in cash for the chain.
And in January of this year, Federated shed its David's Bridal and Priscilla of Boston businesses to an affiliate of Leonard Green & Partners in Los Angeles for about $750 million in cash.
In April, Federated sold its After Hours Formalwear chain, which has 507 stores, to Men's Wearhouse of Houston for about $100 million.
Federated's business now consists solely of Macy's and Bloomingdale's stores, and it is focused on strengthening those brands. To reflect the new strategy, Federated plans to ask shareholders to approve a new name for the company during its annual meeting this month: Macy's Group Inc.

Chairman and CEO: Terry J. Lundgren

2007 Financial Data

Total employees: 188,000 | Local employees: 8,000