Federated Completes Merger With May
Cincinnati, Federated Department Stores announced it has completed its merger with The May Department Stores Co., forming a company with more than 1,000 stores and $30 billion in annual sales.
“Two great organizations have come together and we see tremendous opportunity ahead,” said Terry Lundgren, Federated’s chairman and CEO.
Federated said it will operate all of May’s stores under their existing nameplates at least through the end of the year. Next fall, it plans to convert most May locations to its Macy’s banner. The company reiterated a promise that there will be no job cuts or layoffs before March 1.
The company also added an additional seven stores (in California, New York and Massachusetts) to its previously announced list of 68 stores that it plans to divest. Together, the 75 stores identified for divesture accounted for approximately $2.1 billion in 2004 sales.