VENDORS TOLD END IS NEAR FOR I. MAGNIN
NEW YORK — More signs that the end is near for I. Magnin emerged Thursday when some vendors said store officials informed them that the San Francisco-based specialty chain would be shut down.
Magnin staffers were expected to be informed today about the fate of the specialty chain, as reported.
Magnin, sources said, would be completely shut; some of the units would be purchased by Jacobson Stores Inc., the specialty chain based in Livonia, Mich. Jacobson’s is seeking to expand to the West Coast. Some sources maintain that a few Magnin units may be converted to Macy formats. Magnin, based in San Francisco, has been struggling for years to turn a profit. Magnin is a division of R.H. Macy & Co.
Macy’s will be pulled out of bankruptcy at the end of December through its merger with Federated Department Stores. Bankruptcy law permits retailers to get out of leases and return merchandise without penalty.
Recently, Scott Bowman, chairman and chief executive officer of Magnin, said the division’s operating performance has shown “dramatic improvement.” His predecessor, Joseph Cicio, started to revive the merchandising, but resigned in July when he saw the writing on the wall.
The chain operates 12 stores.