Macy’s says employee hid up to $154 million, delays earnings report – Straight Arrow News
Macy’s has hit a bump in the road with its earnings report due to a hefty accounting scandal involving millions of dollars. An employee, now removed from their position, is accused of concealing up to $154 million in expenses over three years by manipulating accounting entries related to small-package deliveries.
The issue was initially spotted in one of Macy’s accrual accounts and later traced back to the responsible employee following an investigation. Consequently, the company had to delay its quarterly earnings report scheduled for Tuesday, Nov. 26.
Macy’s chairman, Tony Spring, assured that the investigation is a top priority, but the company remains dedicated to serving customers and advancing its holiday season strategy. This setback adds to the challenges faced by many retailers, Macy’s included, who are struggling with sales.
Earlier this year, Macy’s announced plans to shut down approximately 150 stores over the next three years as part of a revitalization effort. As of Monday, Nov. 25, the company’s shares were down by 3.5%.
It’s a tough situation for Macy’s, but they are working hard to get to the bottom of things. The hope is to swiftly resolve this issue and get back on track for a successful holiday season. After all, the show must go on, and Macy’s is determined to keep pushing forward despite this unexpected detour.
