- Don-Alvin Adegeest |
Struggling retailer J.C. Penney has confirmed it will close over 240 stores following its recent filing for bankruptcy protection.
The Wyoming-founded company currently operates 853 stores, of which the remaining 604 outlets that will stay open accounted for 80 percent of sales in its 2019 financial year.
Shuttering nearly 30 percent of its retail outlets, J.C. Penney said it is implementing a financial restructuring plan with the support of its lenders as it looks to cut costs to secure the future of the business and navigate its way through the covid-19 pandemic.
Jill Soltau, chief executive of JC Penney, said: “By entering this restructuring support agreement with our lenders, we expect to reduce several billion dollars of indebtedness, provide increased financial flexibility to help navigate through the coronavirus pandemic, and better position JC Penney for the long-term.
Image via J.C. Penney