Are Rent Reductions Really Happening?

Every day we see more and large chains releasing reports that they are seeking rent reductions with their landlords.

Recently we’ve heard from chains as diverse as Williams-Sonoma, Quiznos, Charming Shoppes and others. Macy’s is one of the few stores to come out and say it isn’t engaging in this practice, but don’t they pay way less than in-line tenants in the first place?

February Another Tough Sales Month

Analysts are predicting that most retailers had another tough sales month in February.

Department stores and apparel chains are seen getting hit the hardest, with same-store sales drops forecast at 10.1% and 8.6% respectively, according to one article.

Department Stores To Have a Rough 2009

It looks like a rocky year ahead for department stores.

The bulk of them will start reporting their quarterly earnings over the next few days, and most in the sector aren’t expecting good news…at least until some time next year. “I don’t think we are planning for a quick recovery,” J.C. Penney CEO Mike Ullman said in one article.

Will Macy’s Restructuring Work?

So Macy’s has just introduced a detailed new plan that management hopes will “position the company for increased sales, profitability and cash flow,” reducing expenses by about $400 million a year.

As part of the initiative, the department-store company will lay off about 7,000 positions across its operations, with the biggest cutbacks taking place in its central offices.

Report: Macy’s Closing Stores

The Wall Street Journal is saying that Macy’s will close 10 of its underperforming stores. (NOTE: Macy’s has since announced that it is closing 11 stores.) Sure, it’s not very many compared to the 860 they operate in total, but that’s still the square footage of about two regional malls, right?

Macy’s is expected to make the announcement today, so maybe it will name the store locations and when they will close.

Macy’s Shoppers Are Obama Fans

We came across this fun survey recently that we thought you’d might enjoy.

A research firm asked shoppers at five chains, Wal-Mart, Kohl’s, JCPenney, Macy’s and Target, who they would choose for president. The strongest sentiment for a candidate was pushed by Macy’s consumers, 47.2% who said they are voting for Barack Obama.

Macy’s Abandons Monthly Sales Reports

When retailers around the country today report their same-stores sales results for February, don’t expect Macy’s Inc. to join them. A Wall Street Journal article reports that the department-store giant will join the Dollar General, Home Depot and Sears Holdings, in not revealing the monthly figures.

The article’s author asserts that “monthly reports have actually lost significance as an economic indicator over time. For one thing, they don’t reflect two big shifts in the way consumers shop.” Online sales, calendar shifts that skew the timing of holidays and gift cards have lessened the relevance of the monthly reports, the article says.