The closings are part of the retailer’s turnaround strategy that aims to find $1.5 billion in annual cost savings by the end of 2022.
“The mall is getting more toxic," one analyst warns. "Mall traffic will likely continue to wane over the years ahead.”
Same-store sales improved in the second quarter but profit was hit by heavy markdowns to clear unsold merchandise.
The layoffs of about 100 senior-level staff will allow the retailer to move faster, reduce costs, and be more responsive to changing customer expectations.
Comparable sales rose 1.3% in Q4 as the retailer's renewed emphasis on apparel helped bring in more shoppers and persuaded them to spend more.
The same-store sales drop was worse than analysts expected but tight inventory control drove an improvement in profitability.
The struggling retailer's stock fell 10%, apparently reflecting investor doubts over the progress of its turnaround efforts.
The retailer's shares plunge 17% as the disappointing Q1 report added "to the sense that Macy's is on a slippery slope."
