Executives have added seven stores to a list of 68 previously announced units that the company is closing next year as a result of duplication from the merger. Those stores are four Macy's in California, two Lord & Taylors in New York and one Filene's in Massachusetts.
One of the Macy's, in Forest City Enterprises' Simi Valley (CA) Town Center, is scheduled to open in October as part of that new development. Additionally, Federated will either divest its Macy's or Filene's store in Downtown Boston, but officials have not yet determined which they will shut.
In the fall of next year Federated will convert 330 of the 487 units in the merger into Macy's stores, brining that chain to 730 stores. The conversion will eliminate May's regional chains under the names Famous-Barr, Filene's, Foley's, Hecht's, the Jones Store, Kaufmann's, L.S. Ayres, Meier & Frank, Strawbridge's and Robinsons-May.
Federated officials have not yet decided whether they will convert the 60-store Marshall Field's chain to Macy's. Federated also received 54 Lord & Taylor stores whose names are not planned for conversion.
Per the deal, May shareholders are receiving $17.75 in cash and just over 0.3 shares of Federated for each share of May common stock. In addition to the department stores, Federated now also owns more than 700 bridal and formalwear units.
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