JC Penney identifies closing stores

By

P J Gach

Susan Spies

Published
Mar 18, 2017

Following its announcement in late February of store closings, JC Penney on Friday released the list of the 138 stores to be shuttered, which will phase out. 5,000 jobs in the process.  The liquidation process will begin April 17, with most stores closing in June. 

 The company said in a statement that it would also close one supply chain facility in Lakeland, Fla., and another located in Buena Park, Calif., "to align the Company’s physical store footprint and omnichannel network."
 
The retailer said it is currently identifying relocation opportunities for management positions affected by the closures. It will also offer outplacement services to sales associations in an effort to help them find new jobs.

The stores marked for closure are located mostly in malls but also some freestanding downtown stores in smaller cities. In its February announcement, JC Penney said the stores being closed were underperforming and represent about 13-14 percent of J.C. Penney's store base and less than 5 percent of annual sales.

The department store chain also said it expected annual savings of about $200 million from the cost-cutting measures, and would take a related pre-tax charge of about $225 million in the first half of the current year.