The Main Stream media continues to try to convince the American people that U.S Economy is getting better despite the continual announcements of layoffs and closings nationwide. In a new report, Macy’s stores are disappearing and 100 more stores will meet their fate as well. Macy’s announced plans on Thursday to shut the doors on about 15% of its department stores, the latest effort to adapt to shifting consumer preferences for shopping online at Amazon (AMZN, Tech30) and elsewhere.
Excerpt From CNN Money:
Macy’s did not disclose which stores it will close, but said most of them would be shut down in early 2017.
The move comes as Macy’s revealed a 96% plunge in profits, even though its sales fell less than feared. Wall Street applauded the dramatic store closures, sending the stock surging 16%, on track for its best day since 2008.
Macy’s said its new strategy is to concentrate its financial firepower and talent on its best-performing locations.
Then we received a report of the Nashville-based restaurant chain Logan’s Roadhouse who recently filed for Chapter 11 bankruptcy with plans to restructure its operations and close 18 locations. According to a recent statement, Logan’s CEO, Sam Borgese, will leave the company, but it was not immediately clear when a replacement would be identified.
Excerpt From USA Today:
The steak and Southern-inspired casual dining chain said that it had secured support for its restructuring plan from its first-lien lenders and bondholders and landed up to $25 million in bankruptcy financing. The company’s “customers continue to face pressure on discretionary income, directly correlating to depressed restaurant sales and reduced customer traffic,” Logan’s chief restructuring officer Keith Maib said in a court filing.