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Macy's Names Interim CFO. Will It Help?

By Jennifer Saibil - May 26, 2020 at 9:55AM

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The struggling retailer hopes to turn miserable sales around.

While Macy's (M -6.60%) preliminary quarterly forecast showed a huge decrease from 2019, the retailer still has a chance for improvement. The company has made all sorts of adjustments to stem the hemorrhaging of sales and recently announced it has named a new interim CFO. 

Going straight to work

Current CFO Paula Price announced her departure in April and is set to leave on May 31. Felicia Williams, who is currently controller and enterprise risk officer at Macy's, will take over the position in until the company is ready to announce a permanent replacement.

Macy's Herald Square, New York.

Image source: Macy's.

Williams will come into the role with a pretty full plate. Macy's will need to make further modifications to its finances to stay solvent while its stores reopen for business. As of last week, there were 190 stores open with another 80 slated to be open before Memorial Day.

"We are taking the right steps to ensure that Macy's, Inc. will emerge on the other side of this crisis a strong, resilient company and ready to serve our customers," said CEO Jeff Gennette.

A tenuous situation

Macy's is projecting around $3 billion in sales for the first quarter, down from $5.5 in 2019, but with a $1.1 billion operating loss, down from $203 million in earnings last year. However, the company has bulked up its cash coffers to $1.5 billion, so with the judicious financial maneuvering and a revitalized business, it's hoping to stay afloat and move back toward positive earnings.

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