Shares of Macy's (NYSE: M) rose 4.6% on Tuesday after the department store retailer unveiled an ambitious restructuring plan and hired eBay execuctive Hal Lawton as president of the company.
Hal Lawton, 43, is leaving his role as eBay's senior vice president for North America to take what essentially is the number two post at Cincinnati-based Macy's.
Lawton will oversee all aspects of the Macy's brand, taking on responsibility for functions like merchandising, marketing, stores, operations, tech, and consumer insights and analytics.
Company officials did not immediately respond to questions about what cities would be impacted by the 100-job reduction.
Lawton will report to Macy's CEO Jeff Gennette, who is shedding the president's title to make way for him. Kantor will also aid in the integration of new digital capabilities both online and in store.
The company forecast savings of about $5 million - or 1 cent a share - in the fourth quarter and a one-time cost of as much as $25 million to be booked in the third quarter.
Macy's sees annual savings of about $30 million from the operational changes. "This is a key step as we look to further transform the business and work through the volatility of today's retail landscape". The changes we are making today maintain our core merchandising skills while massively simplifying our structure and processes for greater speed and flexibility.
Macy's restructuring efforts include the consolidation of three functions " merchandising, planning and private brands " into a single merchandising function.
Before joining eBay in 2015, Lawton spent 10 years at Home Depot Inc., where he helped craft the home-improvement company's website and built it into an nearly $2 billion business, according to the statement.