Macy's closing Missoula store Play Video

By Breanna Roy

Posted: Jan 5, 2010 11:49 AM
Updated: Jan 10, 2010 6:24 PM

A downtown Missoula department store is closing after under-performing. Macy's has announced the Garden City location of Macy's will close along with four other stores nationwide.

We weren't allowed inside Macy's on Tuesday, but shoppers said employees were emotional, some on the verge of tears Tuesday morning as they learned the store will close and about 55 people will lose their jobs.

During the company's annual assessment of more than 800 stores, the Missoula Macy's stood out after it did not meet the performance requirement of the company. Senior management believes there is no opportunity for the store to improve.

Macy's corporate communications and external affairs senior vice president, Jim Sluzewski, said several considerations go into closing a location.

"It hinges on any number of factors, there is seldom any one factor," Sluzewski said. "In the course of every community, shopping patterns change, customer preferences from one location to another changes, the competitive set changes. So we have to make sure, for the health of the company, that our stores are in the places where the customers are shopping and where performance is good."

Sluzewski said Macy's will do what it can to give its employees the chance to work at other stores, like the two other Montana locations in Bozeman and Helena. The company will offer benefits and severance packages those who do not.

Meanwhile, the store will hold its final clearance sales beginning Sunday, Jan. 10, continuing for 60 days before Macy's closes the doors for good.

Web extra

Below is the press release issued by Macy's

Press Release
Macy's, Inc. to Close Five Stores as Part of Normal-Course Process
CINCINNATI, Jan 05, 2010 (BUSINESS WIRE) -- Macy's, Inc. (NYSE:M) today announced the closing of five Macy's stores as part of the ongoing annual process to selectively prune underperforming locations while also opening new ones to fill gaps in local markets.

"We are committed to maintaining a healthy portfolio of stores, which requires us to make the difficult decision to close some stores that no longer meet our performance requirements, as well as to open new stores where we see opportunities," said Terry J. Lundgren, chairman, president and chief executive officer of Macy's, Inc.

Stores to be closed are located in:

  • Downtown Boise, ID (118,000 square feet; 61 employees)
  • Summit Place Mall, Waterford, MI (285,000 square feet; 70 employees)
  • Northwest Plaza, St. Ann, MO (240,000 square feet; 71 employees)
  • Downtown Missoula, MT (113,000 square feet; 55 employees)
  • Burlington Center Mall, Burlington, NJ (185,000 square feet; 50 employees).

Final clearance sales at these stores will begin on Sunday, Jan. 10 and will run for approximately 60 days.

"The decision to close stores is difficult, and often occurs when the market changes, new competing shopping centers are opened nearby to existing older ones, or when customers change shopping habits. In the store closing process, we are committed to treating affected associates with respect and openness," Lundgren said.

Associates displaced by store closings may be offered positions in nearby stores where possible. Regular full-time and part-time associates who are laid off due to a store closing will be provided severance benefits and outplacement assistance.

FIRST REPORT: Macy's has announced it will close five stores, including the Missoula location, as part of a "normal-course" process.

Stores in downtown Missoula, downtown Boise, Waterford, Michigan, St. Ann, Missouri and Burlington, New Jersey are the locations listed to close down.

The stores will begin final clearance sales Sunday, January 10 and company officials say the sales will run about 60 days.

Macy's President and Chief Executive Officer Terry J. Lundgren said in a statement, "The decision to close these stores is difficult, and often occurs when the market changes, new competing shopping centers are opened nearby to existing older ones, or when customers change shopping habits. In the store closing process, we are committed to treating affected associates with respect and openness".

The Missoula Macy's location employs 55 people and encompasses 113,000 square feet of retail space in the heart of downtown Missoula.

Macy's has other Montana stores in Bozeman and Helena.

 

 

Related Articles

Rating: 1.0 (1 vote)
Bookmark and Share

Not registered? Enter your information. You will be sent a confirmation email.


Please keep your comments relevant. Inflamatory or offensive comments will be removed. Email addresses are NEVER displayed, but they are required to confirm your comments.

New users will be sent an email to confirm their comments. If you choose to create an account, a subsequent email will be sent with a password to login. To leave another comment, just use that password.

To create a link, simply type the URL (including http://) or email address and it will automatically be made a link. Paragraph and line spacing is automatically maintained, so there is no need to use <p> or <br /> tags. All other HTML tags are removed, including <img>.

KPAX Missoula on Facebook

Sponsored Content