Loehmann's To Liquidate; Macy's Cuts Jobs In Reorganization
Discount retailer Loehmann's, which has been in business for more than 90 years, will begin liquidating its inventory on Thursday.
A bankruptcy court in Manhattan on Wednesday authorized three outside groups to conduct "going out of business" sales for the retailer.
The company blamed its demise on declining economic conditions, intense competition from other off-price and outlet retailers as well as competition online.
Loehmann's has 93 stores in 11 states.
Macy's To Reorganize
Macy's Inc. announced Wednesday that it is cutting 2,500 jobs as part of a reorganization.
Other workers will be reassigned or transferred, and the company plans to add positions to online shopping and warehouses.
The Cincinnati-based retailer also announced it will close five stores. Final clearance sales will begin Monday.
Macy's, which also operates Bloomingdale's stores, said eight new stores will be added. They are currently under construction, or there are plans for them to be built.
In a news release, Macy's said the changes are expected to save the company about $100 million a year.
Other Retail News
-- Barnes & Noble has a new leader. The struggling book seller on Wednesday announced that Michael Huseby, 59, who was in charge of its Nook division, has been promoted to CEO. He takes over immediately for ex-CEO William Lynch, who left the company in July.
-- In a two-paragraph news release, J.C. Penney Co Inc. said it was "pleased" with its holiday sales but didn't elaborate. Analysts translated the short message to mean the retailer's turnaround was stalling. The department store's shares dropped 8 percent Wednesday. Penney shares were the second-most actively traded on Wall Street.