Macy's Inc.

Macy's Inc.

Company information

Macy's is the premier retail store business in US. It sells different range of merchandise which includes men's, women's and children apparel and fashion accessories such as cosmetics, home furnishing and other consumer goods. Currently Macy's is majorly operates in the United States. It's headquarter is in Cincinnati, Ohio. At January, 2012 there were approximately 171,000 full time employees working at Macy's (Macy, 2013).

Previously Macy's was known as Federal Department Stores (Federated), it was the combination of three stores Filene's, Abraham & Straus, F&R and Bloomingdale's. Their joint business Federated was established in 1929 and started business as holding company and the retail business Bloomingdale's joined them in 1930. The business was restructured as operating business in 1945, and moved to Cincinnati. In 1940s the business acquired various organizations till beginning of 1960s. At the end of 1964, Federated expanded its business from five divisions to fourteen divisions. There are various discount divisions in Florida to compete in low priced goods. In 1980, Federated Foundation was established. In history of Federated was taken over by Campeau for bankruptcy. Federated went through various changes and in 2002, Federated renamed it most of the stores to Bloomingdale's and Macy's.

Financial statements of Macy's are reported during the period 1 March, 2011 to 28 January, 2012 (Macy, 2013).

Letter to shareholders

The letter to shareholders is from Terry J. Lundgren who is Chairman, President and Chief Executive Officer. In the latter he discussed about the financial results of the company. It is mentioned that store sales are rose by 5.3 percent and there forecasted percentage was three percent and Macy's achieved it with a wide margin. In 2011, Macy's online sales grew by forty percent which was highest as compared with previous growths as 29 and 20 percent. It is also identified that business increased it investment grade status by repaying huge debts. In 2011, company also increased the common stock. Company also doubled its dividend from 4o cents per share to 80 cent per share. The strategic planning discussed by Macy's Chairman is focused on three points. First is to create effective My Macy's Localization, second strategy is omnichannel retailing strategy and integrating the retail store with internet and mobile devices to reach most of the customers and last strategy is to integrate Macy's stores that can deliver and pick orders from other stores (Bazley et al., 2010).

Financial Statements

The financial statements disclosed in Macy's Inc are consolidated income statement of three financial year i.e., from 29th of January of the year till 28th January of the preceding year. Financial statement of 2009, 2010 and 2011 are disclosed.

Balance sheets of two years are disclosed in the Macy's Inc annual report. Balance sheets of Macy's are of 29th January 2011 and 28th January 2012.

Statement of changes in Shareholder's equity is also disclosed in the annual report of the Macy's Inc. Three years statements are disclosed in the annual report based on the period of 30th January 2010, 29th ...