Founded in 1929; store roots go back to 1830
Corporate offices in Cincinnati and New York
with corporate offices in Cincinnati and New York, is one of the
nation's premier retailers, with fiscal 2010 sales of $25 billion.
The Macy's brand includes about 810 Macy's department stores and
furniture galleries in 45 states, the District of Columbia, Guam and
Puerto Rico, as well as macys.com. The Bloomingdale's brand includes
41 department stores and home stores in 12 states, bloomingdales.com,
and (as of April 2, 2011) four Bloomingdale's Outlet stores in three
states. Bloomingdale's also operates in Dubai under a lease
agreement with Al Tayer Group LLC. Macy's, Inc.'s diverse workforce
includes approximately 166,000 employees. Prior to June 1, 2007,
Macy's, Inc. was known as Federated Department Stores, Inc. The
company's shares are traded under the symbol "M" on the New York
Seventy-eight years ago on the morning of March
6, 1929, millions of Americans opened their edition of The New York
Times to find a headline that would send the business and retail
world into a spin of excited chatter and speculation - "Abraham &
Straus and Filene's to Unite. "The announcement marked the beginning
of the evolution of what was to become one of the largest and most
influential corporations in retail history.
Federated Department Stores was born through
the combination of Abraham & Straus of Brooklyn, Filene's of Boston,
F&R Lazarus & Co. of Columbus, OH, and Bloomingdale's of New York.
Each of these retailers was an established, prominent presence with
a rich history of its own. In joining together, they agreed to
maintain their separate identities while linking their financial
interests. These pioneers recognized the immense opportunity that
lay before them and on November 25, 1929, Federated Department
Stores was incorporated as a revolutionary new company in American
As Federated emerged in the years of the
Great Depression and World War II, it became apparent that the
corporation was equipped with both resilience and flexibility. It
adapted to the times by implementing innovative retail firsts, such
as "pay when you can" credit policies and arranging merchandise by
size rather than color, brand or price. Not surprisingly, one of the
best and boldest ideas of the time belonged to Fred Lazarus, the
retailing legend and president of F&R Lazarus. He became concerned
in 1939 upon realizing that Thanksgiving would fall on the last day
of November. This meant fewer shopping days in the coveted holiday
shopping season between Thanksgiving and Christmas, a circumstance
that could push many retailers from the black to the red. Mr. Fred,
as he came to be called, proposed a brazen solution when he
suggested to President Roosevelt that in the future, Thanksgiving be
anchored to the fourth Thursday in November. The President supported
this proposition, and within two years it passed through Congress
When the war came home to America in 1941,
Federated responded with the resolve of a company dedicated to
community and civic support. Selling war bonds, volunteering with
the Red Cross, helping in Victory Gardens and participating in U.S.O.
events became part of its daily business. Thirteen percent of
Federated's workforce fought in the war, and 56 died in action.
As the nation went on to recover from the
strife of a long war, Federated surged forward into a new era of the
company's history. It was about to embark on a new venture sparked
by another epiphany credited to Mr. Fred. During a trip to Houston,
TX, in 1944, he was astonished to find that the sizeable city had
not a single department store. It became obvious to him that
Federated had to begin acting on such opportunities that were there
for the taking. Upon his return, he convinced Federated's directors
that remaining a holding company was no longer conducive to
achieving the kind of success possible in the country's booming
retail industry. He suggested a bold transition to an operating
company that could take advantage of the incredible growth and
expansion opportunities that lay ahead. After much debate and some
resistance, the directors agreed and Federated was reconstituted as
an operating company in 1945, with Fred Lazarus as its president and
Cincinnati as its headquarters.
Federated's first priorities as an operating
company were expansion and acquisitions that spanned the late 1940s
to the early 1960s. By 1964, it was prospering at an extraordinary
pace. Its number of divisions had expanded from the original five to
an impressive 14, and annual sales for the first time had
skyrocketed to more than $1 billion. The growth continued steadily
into the 1970s as Federated mirrored the population trend of
expansion to the suburbs. New malls and shopping centers were
springing up everywhere, and Federated was there to satisfy the new
demand for a retail presence in suburbia. This new trend played a
major part in the growth of Federated between 1964 and 1979, when
its number of stores increased 400 percent and annual sales
quadrupled to $4.8 billion.
It also was during this era of powerful and
positive change that Federated shifted its concentration from growth
through acquisitions to expanding the company's retail formats. Mr.
Fred had stepped down as CEO in 1966 and passed the reins to his
son. Ralph Lazarus recognized retail trends that shifted demand
toward better merchandise and more brands, leaving the door wide
open for Federated to satisfy consumers whose demand for
lower-priced retailers was not being met. So by the 1970s, Federated
had started a number of discount divisions that operated in Florida,
Texas and California. At the same time, Lazarus also set his sights
on real estate development through a wholly owned subsidiary,
Federated Stores Realty. This resulted in a new string of regional
shopping malls with Federated stores as their anchors. Federated
ended the decade of the '70s on a high note as it celebrated its
50th anniversary with the acquisition of Rich's in Atlanta,
construction of a new corporate headquarters building in Cincinnati
and a total of 20 divisions and 364 stores.
It became apparent in the 1980s, as the tone
of the industry changed dramatically, that Federated's endurance and
resolve as a retail powerhouse were going to be tested. Howard
Goldfeder took the reins of CEO from Ralph Lazarus in 1982 amid a
period of changes. As divisional consolidation was taking place
between the company's Rike's and Shillito's operations, Federated
planned for a new retail concept called MainStreet, which it
promoted as a "junior" department store. The company also reinforced
its longstanding tradition of giving back to the community with the
establishment of the Federated Foundation in 1980, setting aside $15
million in earnings to create the corpus of this charitable trust.
Things looked stable for the corporation until 1988 when a Canadian
real estate developer named Robert Campeau turned his sights on
Federated. A takeover ensued, and just two years later Federated was
forced to file for bankruptcy.
In perhaps the most difficult period of its
history, Federated's strong operations and determined leadership
rebuilt the corporation into an even stronger company. By 1992,
Federated emerged from the ashes as a new public company. Within
three years, Federated had doubled in size, acquiring Macy's in 1994
and Broadway Stores in 1995. It dove into the Internet and
macys.com and the acquisition of Fingerhut, a company that
was building a sophisticated e-commerce infrastructure. When the
ecommerce bubble burst and the acquisition of Fingerhut became a
very public failure shortly thereafter, Federated responded with
candor. Chairman and CEO Jim Zimmerman declared that the company
remained confident in its resolve to take prudent risks rather than
choosing to stand still.
The new millennium saw Federated make the
bold move of acquiring long-time department store competitor, May
Company. Both companies had very similar histories and cultures, and
both represented decades of roll-ups of local family-owned
department stores. Each had similar sales volume and stores.
United, a retail powerhouse was created with
Macy's stores in 63 of the top 65 markets. They truly are "America's
Department Store." The acquisition was completed in August 2005,
nearly doubling the size of the company and making Federated the
fourth largest non-food retailer in the country.
Seventy-eight years after its founding,
Federated is one of the nation's most successful and respected
retail institutions. The company continues to prosper by adapting
and flowing with new demands on department stores in an everchanging
society. Embracing the words and philosophy of one of its founders,
Fred Lazarus Jr., Federated succeeds by striving to be "a living
mirror of our civilization in which we see the constant changing
needs and wishes of our people."
Macy's, Inc. stands as the nation's largest department store
retailer. Macy's, Inc. celebrated its 75th birthday in 2004, but its
retailing roots extend far beyond that, stretching back to the
middle of the 19th century when most of its department store
franchises were founded. The company built on those traditionally
strong franchises, calling on the experience and innovative retail
strategies of each division to contribute to Macy's, Inc.'s overall
success. As a result, Macy's, Inc. understands and meets the needs
of American consumers in ways unmatched by any other retailer,
Retail Divisions Prior to 2007:
Macy's, Inc. operated 863 stores
(as of August 4, 2007)
Department stores in 45 U.S.
states, the District of Columbia, Guam and Puerto Rico
gross square feet of store space (as of August 4, 2007)
(as of March 3, 2007)
Headquarters: New York, NY
Bloomingdale's By Mail,
bloomingdales.com and 39 stores in California, Florida,
Georgia, Illinois, Maryland, Massachusetts, Minnesota, Nevada, New
Jersey, New York, Pennsylvania and Virginia.
Annual 2006 sales of $2.317 billion
Headquarters: New York, NY
190 stores in Connecticut, Delaware, Maine, Maryland, Massachusetts,
New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island,
Vermont, Virginia, Washington, D.C., and Puerto Rico.
Annual 2006 sales of $7.193 billion
Headquarters: Miami, FL
61 stores in Florida.
Annual 2006 sales of $1.756 billion
Headquarters: St. Louis, MO
113 stores in Illinois, Indiana, Kansas, Kentucky, Missouri, Ohio,
Pennsylvania, West Virginia and western New York.
Annual 2006 sales of $1.809 billion
Headquarters: Minneapolis, MN
64 stores in Illinois, Indiana, Michigan, Minnesota, North Dakota,
northern Ohio, South Dakota and Wisconsin.
Annual 2006 sales of $2.266 billion
Headquarters: Seattle, WA
67 stores in Idaho, Montana, Oregon, Utah, Washington and Wyoming.
Annual 2006 sales of $1.369 billion
Headquarters: Atlanta, GA
136 stores in Alabama, Georgia, Kentucky, Louisiana, North Carolina,
Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas and
Annual 2006 sales of $3.808 billion
Headquarters: San Francisco, CA
193 stores in Arizona, California, Colorado, Hawaii, Nevada, New
Mexico, Texas and Guam.
Annual 2006 sales of $6.002 billion
Headquarters: New York, NY/San Francisco, CA
Learn more about
Macy's at their website.
This profile of Macy's had been added to the
Apparel Search website on September 10th 2007 and modified September
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