The Wall Street Journal identified the activist funds as Legion Partners Asset Management LLC, Macellum Advisors GP LLC and Ancora Advisors LLC.
The funds control about 5% of the retailer, The Wall Street Journal reported.
The funds have been preparing an effort to replace all 12 members of the retailer's board, according to the report, which cited people familiar with the matter. The group also wants the company to replace CEO Steven Temares, who has led the company since 2003, and better align compensation with performance, the Journal reported.
Will I Have Enough Money to Retire? Want to learn about retirement planning from some of the nation's top experts? Join TheStreet's Robert "Mr. Retirement" Powell live in New York on April 6 for our Retirement Strategies Symposium. For a limited time, tickets are available for $99 for this full-day event. Check out the agenda, learn about the speakers and sign up here.