Terry Lundgren Stores Quotations

Sean Combs' Unforgivable fragrance is a runaway success at Macy*s. We expect the early momentum to continue as we roll out this new fragrance to our stores across the country. There is every reason to believe that Unforgivable will be the #1 men's fragrance of the season.

With the merger, we'll become stronger, faster-growing and more profitable than if we went ahead alone, ... The strength of our branding will be across twice the number of stores than we currently operate.

We are pleased with our February sales performance. Same-store sales for Macy's and Bloomingdale's locations were encouraging and above our guidance. Non-comparable stores were slightly above plan.

By announcing these decisions now, we can begin more specific planning for the future. This includes discussing potential career opportunities within Federated for May Company employees and ensuring new merchandise assortments are in place as soon as possible in stores acquired from May.