Terry Lundgren to Step Down as Macy's CEO
Macy’s announced Thursday that Jeff Gennette will be the company’s new CEO, replacing Terry Lundgren beginning in the first quarter of 2017. Lundgren has been CEO since 2003 and chairman of the board since 2004. Now the two will work alongside each other — Lundgren will keep his executive chairman position when Gennette becomes president, CEO and joins the company board. Gennette has worked at Macy’s since 1983, most recently serving as president since March 2014.
Total Retail's Take: This change in leadership comes a month after the department store reported its worst quarter since the last recession. So far this year, Macy’s has closed 36 of its 800 stores (a trend not unfamiliar to many department stores). For sales to get back to pre-recession levels, department stores collectively would have to close about 800 stores, according to Green Street Advisors. Will a change in leadership help Macy’s get back on the right track, or are discount chains and online shopping eliminating department stores for good?