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Macy’s M.N, an American department store chain, dropped its spot from the S&P 500 Index standard. Macy’s shares dropped 80% in the last 12 months of their operation which results in a lowered market value of $1.52 billion as of Tuesday’s close, based on Refinitiv IBES data.
The company said that the store closures and the furloughing of their workers made a big impact on losing most of its sales amid the coronavirus outbreak. However, the company pledged to provide just compensation and other work benefits to its affected workforce. Macy's stores will shift to e-commerce to remain operational.
“The health and safety of our customers, colleagues, and communities are our utmost priority. As a result of the recent COVID-19 developments, we have decided to temporarily close our stores. We will work with government and health officials to assess when we will reopen our stores and safely bring our colleagues back to work,” Jeff Gennette, chairman and chief executive officer of Macy’s, said in a statement.
Macy’s will be replaced in the S&P 500 Index by an air conditioning company Carrier Global Corp CARR.
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