NEW YORK--Federated Department Stores Inc. reported Tuesday that it expects to officially merge with R.H. Macy & Co. on Monday, Dec. 19.
On that date, Macy will end 136 years of independent operation.
Upon the closing of the merger agreement, Federated will issue 55.6 million shares of common stock in the combined company along with 18 million warrants, cash and debt to certain Macy creditors.
As reported, Macy, while reorganizing under Chapter 11, was unable last summer to fend off Federated's merger proposal. The combined company will be the largest department store chain in the country, with more than $14 billion in sales from 335 stores.
A Federated spokeswoman said Tuesday that there would be no change on Dec. 19 in any Macy store and that the mechanical financial transaction to close the merger would not be evident to consumers.
--Fairchild News Service

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