Federated Department Stores to Cut 6,200 Jobs

The retail sector has its problems. Consolidation and growing competition from the big boxes continues to take its toll. Here is the latest.

Federated Department Stores Inc. said on Tuesday it is planning to cut up to 6,200 jobs beginning next year and change all 62 Marshall Field's stores to the Macy's name in the fall of 2006 in its biggest steps yet since completing its acquisition of May Department Stores Inc.

The operator of Bloomingdale's also said it will shed the Philadelphia-based bridal group division it acquired from May and is studying what to do with its Lord & Taylor division.

About 4,500 positions will be eliminated beginning in March as Federated phases out May's divisional operations in Boston, Houston, Arlington, Va., and Los Angeles. The remaining 1,700 cuts will be in St. Louis at May's corporate offices.

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