Macy’s, Inc. Receives Director Nominations from Arkhous

Macy’s, Inc. (NYSE: M) declared today that it has received notification from Arkhouse Management Co. LP (“Arkhouse”) regarding the nomination of nine individuals for election to Macy’s, Inc. Board of Directors at the 2024 Annual Meeting. Macy’s, Inc. responded, emphasizing its diverse and experienced Board committed to creating shareholder value and being open to value creation opportunities.

The announcement highlighted the ongoing efforts of Macy’s, Inc. in scrutinizing its business aspects for a forward-looking strategy, concentrating on customer experience across various channels. Details of this strategy are expected to be shared in the upcoming fourth quarter and full year 2023 earnings report.

The director nominations from Arkhouse come after their unsolicited proposal, along with Brigade, on December 1, 2023, to acquire Macy’s, Inc. for $21.00 per share in cash. The Board, considering fiduciary duties, thoroughly reviewed the proposal but found it lacking compelling value and actionability due to concerns about the financing plan.

Despite subsequent attempts to seek additional information for clarity and constructive dialogue, Arkhouse and Brigade did not provide satisfactory financing details. Instead, Arkhouse opted for a proxy contest, focusing solely on the sale of Macy’s, Inc. The Nominating and Corporate Governance Committee will assess Arkhouse’s director candidates.

Macy’s, Inc. expressed commitment to ongoing dialogue with shareholders and assured that the Board and management team would act in the best interests of the Company. The Board’s recommendation on director elections will be presented in the proxy statement filed with the Securities and Exchange Commission before the 2024 Annual Meeting, the date of which is yet to be finalized.

Bank of America Securities and Wells Fargo are serving as financial advisors, and Wachtell, Lipton, Rosen & Katz as the legal advisor to Macy’s, Inc.

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