Federated Dropping Field's Name, Bridal Biz
Casual Living Staff -- Casual Living, September 26, 2005
Cincinnati — In a sweeping overhaul that follows its buyout of May Department Stores, Federated Department Stores Inc. said it will convert all of May's marquis nameplates, including the venerable Marshall-Field's brand, to Macy's or Bloomingdale's stores beginning next year.
“We believe that continuing to build Macy's and Bloomingdale's aggressively across America will accelerate our comp-store sales performance and increase profitability, thereby driving shareholder value,” said Terry Lundgren, Federated chairman, president and CEO.
While highly specific plans were spelled out for the integration of most May nameplates and stores, Federated was conspicuously silent about the future of May's Lord & Taylor business. The company said it “intends to study the Lord & Taylor division during the remainder of 2005 and make a decision about its future by the end of the current fiscal year.”
Raising cash to help pay down buyout debt, Federated said it plans to sell the Bridal Group it received in the May acquisition, including 245 David's Bridal, 454 After Hours Formalwear and 11 Priscilla of Boston stores.
Federated said all May nameplates will remain in operation though the 2005 holiday selling season, with new signs going up in 2006.