FDS to build Macy's & Bloomingdale's brands to boost profit
21 Sep '05
3 min read
Bridal GroupDisposition Federated intends to divest the Bridal Group division it acquired from May Company. Credit Suisse First Boston and Banc of America Securities LLC will be advising Federated in exploring the various strategic options for this business. The Bridal Group, based in Philadelphia, includes 245 David's Bridal, 454 After Hours Formalwear and 11 Priscilla of Boston stores in 47 states and Puerto Rico.
Lundgren stated that while The Bridal Group is a very successful, profitable business with significant growth opportunities, its specialty store model does not fit with Federated's strategy of focusing on department stores and building the Macy's and Bloomingdale's brands. They expect to thoroughly evaluate strategic alternatives and expect to complete a sale of this business sometime in 2006.
Atlanta based Macy's South is encompassing most of what is now the Macy's Central division. It will grow to include 59 Foley's stores in Texas, Oklahoma and Louisiana; 33 Hecht's stores in North Carolina, Tennessee and Virginia; two Macy's East stores in Louisiana; one Macy's West store in Texas, and one Famous-Barr store in Kentucky. On an interim basis, it also will be responsible for three Kaufmann's stores in Ohio and West Virginia, and a second Famous-Barr store in Kentucky.
Macy's West, based in San Francisco, which will grow to encompass 44 Robinsons-May stores in California, Nevada and Arizona, and 17 Foley's stores in Colorado, New Mexico and Texas. In total, Macy's West will operate approximately 187 stores in six states.
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