Macy's Inc., the iconic American department store chain, has announced the forthcoming closure of 14 stores across 12 states by March 2026. This decision is part of a broader initiative to streamline operations and focus on the brand's most lucrative outlets. CEO Tony Spring, who has been at the helm since March 2024, described the move in a letter to employees and investors as a pivot towards a "bold new chapter" for the company, emphasizing the importance of adapting to the changing retail landscape.
The affected locations have been deemed "underproductive" by the company's standards and include stores in California, New Jersey, New York, Pennsylvania, and several other states. These closures follow on the heels of earlier efforts to reduce Macy's physical presence, with the retailer having closed 66 stores in 2025 alone. This aggressive downsizing is seen as a response to the challenges facing brick-and-mortar retailers, as online shopping continues to reshape consumer habits.
As part of the transition, Macy's is concentrating its efforts on enhancing customer experience at its top-performing stores, expanding luxury offerings, and strengthening its supply chain infrastructure. CEO Spring outlined that these targeted changes are designed to maximize the company's impact in a highly competitive market. Liquidation sales for the closing stores are slated to commence in mid-January, extending approximately ten weeks, with the final shutters coming down by late March.
The company has expressed a commitment to supporting affected employees through transfer opportunities where viable, as well as offering severance and transition assistance. Spring expressed gratitude for the dedication and service of Macy's colleagues in his communications regarding the closures.
While Macy's corporate narrative remains one of optimism and strategic refocusing, the announcement has been met with dismay by customers in the impacted communities. For instance, the closure of the Tarentum, Pennsylvania, store is seen as a potentially fatal blow to the Pittsburgh Mills Mall, which has faced long-term challenges. Similarly, the impending shutdown of the Macy's in Livingston, New Jersey, has sparked concerns over the survival of the entire mall complex.
Despite the emotional reactions and the potential local economic impact of these closures, Macy's points to signs of a successful turnaround. The company announced an $11 million profit for the year 2025, marking a significant improvement after a period of diminishing sales. Industry observers credit the revival to improved store conditions, better staffing, and more strategically curated merchandise assortments. Neil Saunders of GlobalData highlighted the departure from "sloppy execution" that characterized the chain's past performance, noting marked improvements in the remaining stores' operations.
Spring's leadership appears to be steering Macy's towards a future where quality and profitability trump extensive physical reach. As the retailer navigates these changes, the broader retail industry watches closely, with the Macy's strategy potentially serving as a bellwether for other traditional department stores grappling with similar challenges.
