Federated management has said since the May purchase that it would sell the Bridal Group. Since the merger, the company has sold the Lord & Taylor chain and about 60 May department stores that were in duplicate locations with existing Federated units.

Federated is getting closer to the re-launch of its Macy's brand, which it expects to complete Sept. 9. That will entail the re-branding of about 400 former May stores across the country into Macy's units. So far Macy's merchandise has entered some of the stores and signage is currently being converted.

Federated's year-over-year same-store sales during its second quarter, which ended July 29, increased 4.6%. Total sales were just under $6 billion, a 65% increase over last year's results, due to the May merger. Strong-performing divisions were Macy's East, Florida and Northwest. The company is upping its second-half same-store sales expectations from a 2% to 4% increase to 3% to 5%.

Former May units did not perform as well as the Federated Macy's stores, but "the trends in the former May doors are not meaningful," says Karen Hoguet, the company's chief financial officer, until they are converted into the Macy's brand. Strong-selling categories were dresses, cosmetics, juniors, young men's and luggage, while home goods performed poorly.

The retailer's earnings per share came in at 49 cents during the quarter, exceeding its guidance of 39 cents to 44 cents. Federated operates about 850 department stores across the country.