The Plano, Texas-based retailer employed roughly 90,000 full- and part-time workers as of February.
Sales at J.C. Penney have fallen annually since 2016.
Macy's next ...
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I see a lot of comments on this site but Penney's and Amazon... agreed that's something for macys to be worried about.
Amazon is reportedly in talks to acquire J.C. Penney, according to a report by Women's Wear Daily Monday.
"There is an Amazon team in Plano as we speak," WWD article notes, referencing the Texas city where J.C. Penney’s headquarters are located. "There is a dialogue and I’m told it has a lot to do with Amazon eager to expand its apparel business."
- C. Penney declined to comment and Amazon officials did not immediately respond to USA TODAY’s request for comment Monday.
According to WWD, Amazon could convert J.C. Penney stores to its "high-tech retail format" and convert some sites into distribution centers.
Kris Hansen, a lawyer for a group of dissident creditors, said his clients were shut out of negotiations and criticized the company for paying out $10 million in retention bonuses to top executives, a $45 million financing fee to lenders and $17 million in loan interest in the week before filing for bankruptcy.
With nonessential shopping nationwide still largely shut down, the company said it has opened seven stores for curbside service and 41 stores for full operation.
- C. Penney, which employs roughly 85,000 people, envisions handing control to lenders and reducing a significant portion of its nearly $5 billion of debt after reorganizing into two companies. One would be a company operating its business while the other would be a real estate investment trust holding some of the company’s property, plans previously reported by Reuters.
The Plano, Texas-based company reached agreement before its Chapter 11 filing for $450 million of fresh financing from existing lenders. Another $450 million of current debt is to be “rolled up” and given the same legal status as that funding.
- C. Penney’s negotiations are set to continue with investment firms holding its senior debt, which include H/2 Capital Partners LLC, Sixth Street Partners, Ares Management Corp (ARES.N), KKR & Co (KKR.N) and Apollo Global Management Inc (APO.N) , among others, Sussberg said.
That's what it sounds like to me also. An egocentric asshat like the tractor ceo. Would be great if it was really him wasting time but it's not. Most likely it's someone who had very little interaction with him if any. Who ever this person is I pray they no longer work for macys. People like this drag the rest of us down
So they had a bloodsucking leach like the Tractor CEO as well huh?
Bankrupted JC Penney plans to spin its properties into separate real estate company
Part of J.C. Penney’s strategy to emerge from bankruptcy includes a plan to create two new public businesses — one of them being a real estate investment trust.
Court documents say as much as a 35% stake in the newly created REIT could be sold to a third-party investor to raise cash, or to provide additional funding for the REIT.
A piece of J.C. Penney’s proposal to emerge from bankruptcy includes spinning its real estate into a publicly traded real estate investment trust.
As part of a plan filed with the bankruptcy court, Penney would reorganize into a new retailer (“JCP”), along with a REIT that would collect rent checks from the retail business. Court documents say as much as a 35% stake in the newly created REIT could be sold to a third-party investor to raise cash, or to provide additional funding for the REIT.
Home-goods company Pier 1 Imports and sporting-goods retailer Modell's had filed for Chapter 11 protection before the Covid-19 virus slammed the U.S. economy and forced nonessential retailers' stores shut, subsequently putting their going-out-of-business sales on hold. Modell's has been in the process of liquidating its entire store base. Pier 1 was planning to emerge with a smaller footprint.
"Anything that has any chance of working would take many years and a lot of investment," Dennis said. "In these bankruptcies, I think a lot of them aren't going to make it because investors are saying ... this is too much of a long shot."
Days before seeking bankruptcy protection, JC Penney paid nearly $10m in bonuses to top executives. The company said it was “taking necessary steps to retain our talented management team”.
My pecking order was jcpenny, lord n Taylor , needless markup then Macy’s
Macy’s is next!
JCPenney is 118 years old, and has $3.6 billion in debt on its books. The chain is struggling to overcome a decade of bad decisions, executive instability and damaging market trends even before the Covid-19 pandemic shut its 846 stores two months ago.
The severe problems at JCPenney stretch back nearly a decade. It hasn't had a profitable year since 2010, and its net losses since then total $4.5 billion. Since the fall of 2011,the company has reported only five profitable quarters – all of them in the holiday shopping season.
- C. Penney joins fellow department store chains Neiman Marcus and Stage Stores as victims of the pandemic, which has forced their doors shut and exacerbated problems that existed before the virus started spreading. Department stores have struggled to maintain a foothold in U.S. retail. Brands have sidestepped them by selling to shoppers directly. Online retailers have lured shoppers away from malls in which many department stores are based.
The retailer dates back to 1913, when James Penney converted a chain of 34 stores into the J.C. Penney company. J.C. Penney offered rural America their first depot, providing farmers and others a one-stop-shop to buy essential goods at bargain prices. By 1928, it worked its store base up to 1,000 stores — a year before the company went public, and the Great Depression.By 1994, the retailer had $20.4 billion in retail sales, with net income nearing $1 billion.