R. H. Macy Will Restructure as 2 Regional Units

R. H. Macy & Co. announced a reorganization plan Wednesday that will centralize its merchandising operations, open a string of clearance stores and create two regional department store divisions for the multibillion-dollar retail company.

Under the reorganization, which will go into effect in February, Macy’s will create Macy’s East, with 68 stores and a New York headquarters, and San Francisco-based Macy’s West, with 52 stores, including the Southland’s 18 Bullocks department stores.

The company also announced the formation of a division, Macy’s Close-Out, which will operate clearance stores in five mall locations throughout the nation. Company spokesmen declined to name the locations.

Bullocks, which currently has buyers and administration in Atlanta, will report to San Francisco under the realignment. Macy’s Los Angeles regional office will still handle some buying and support services for Bullocks.

Atlanta’s role was changed because it “did not fit in” with plans to centralize the company’s merchandising centers, a spokesperson said. The Atlanta office will continue buying operations, but the company did not elaborate on what role the office will play.

As part of the realignment, Macy’s has named several executives to new positions, including several presidents within each division for merchandising and other functions.

Macy’s downplayed the question of job losses resulting from the reorganization. Spokesman James Fingeroth said before Wednesday’s official announcement: “There will be some job changes contemplated, but I don’t know if that will mean job loss.”