MAGNIN TO TELL WORKERS FATE OF CHAIN FRIDAY
NEW YORK — I. Magnin staffers were told by senior officials that they should expect an announcement about the fate of the chain on Friday, sources said Wednesday.
As reported Nov. 14, Magnin is expected to close eight units and sell some of those to Jacobson’s, the specialty chain based in Livonia, Mich., which is seeking to expand on the West Coast.
The closings reportedly will occur before R.H. Macy & Co. emerges from bankruptcy at the end of December and merge with Federated Department Stores.
Bankruptcy law permits retailers to easily get out of leases and return merchandise to vendors without penalty.
Magnin, which operates a total of 12 stores, is expected to retain the units in Phoenix, San Diego, Beverly Hills and San Francisco. Sources said they are likely to be converted to Macy’s or Bloomingdale’s, which is a division of Federated.
Bloomingdale’s currently does not operate stores in the West, but it has announced that it has intentions to expand into the region.
R.H. Macy & Co. declined to comment Wednesday.