Macy's CEO Terry Lundgren Explains Why The Company Couldn't Meet Q2 Expectations

Macy's, Inc. (NYSE: M) reported disappointing numbers for the second quarter earlier on Wednesday.

Macy's Chairman, President and CEO Terry Lundgren was on CNBC to explain why the company couldn't meet earnings expectations.

Reasons For The Miss

"We definitely are seeing that the consumer didn't shop in our categories to the degree that we thought the consumer would," Lundgren began. "Number of reasons, we're against our best quarter of the year last year, we were up for our comp last year; that's one issue."

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He continued, "Clearly -- I have mentioned this before that -- the European, the Chinese tourists, the Brazilian tourists around the world, they're just not coming to America and the strength of the dollar is impacting that. And when they are here they are not spending in our category, it's as simple as that."

Combating Dollar Strength

Lundgren was asked how the company is planning to combat the strength of the dollar on a long-term basis. He replied, "The only good news is that eventually I anniversary it. So, I come against it. It's not because the dollar is going to change in terms of its valuation, I don't think...I think, it's just that I come against it. Really the spending, it happened like in November, but I think the spending is really a mid-December. So, it's good time for us to actually go against softer numbers."

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