Sept 28 Macy's Inc said on Friday that
Finish Line Inc would be its exclusive athletic
footwear partner, opening shops in more than 450 of the
company's department stores.
The deal comes as department store chains race one another
to build out "shops-in-shops," which offer more elaborate
presentations of top brands and turn each store into something
of a mall.
Macy's archrival J.C. Penney Co Inc is in the middle
of turning 700 of its 1,100 department stores into a collection
of 100 boutiques by 2015 and is planning to beef up its offering
of products by Finish Line competitor Nike Inc.
Longer term, the Macy's deal should boost Finish Line's
sales by $250 million to $350 million a year, the companies said
in a joint statement. Finish Line, which will also have a
presence on Macy's website, will keep the sales and
corresponding profits, minus a licensing fee for the department
Finish Line will operate more than 450 locations as leased
departments starting in the spring. For about 225 Macy's stores
that sell shoes, Finish Line will manage the athletic shoe
assortment and inventory, also beginning in the spring.