J.C. Penney files for bankruptcy protection

JCPenney logo with stock chart

In recent years, market trends have led to numerous high-profile bankruptcies in the retail business, including the likes of Toys "R" Us and Sears.

Department store giant J.C. Penney Co. filed for bankruptcy protection on Friday, punctuating a slow, arduous decline for the once-ubiquitous mainstay of America's shopping malls. The company filed for bankruptcy protection on Friday, after having witnessed a decline in business for nearly two decades past, with the COVID-19 crisis simply exacerbating its financial strain. In January, J.C. Penney said would close six stores by April 24 leading many to speculate if the company could see some type of recovery. Its bankruptcy filing in Houston included $900 million of financing to fund the company through its restructuring, including $450 million of fresh capital. The Guardian report states that against this backdrop, the company already faced a "looming $105 million debt payment in June and $300 million of annual interest expenses".

Founded in 1902, JCPenny has about 800 stores in the United Staes.

Plenty of PPP loan money remains after Week 2, Round 2
To deal with that, Asbury said businesses can simply borrow less money or understand that they may need to pay some of it back. The survey targeted nonfarm, single-location employer businesses with less than 500 employees and receipts of $1,000 or more.

"The Coronavirus (COVID-19) pandemic has created unprecedented challenges for our families, our loved ones, our communities, and our country. While we had been working in parallel on options to strengthen our balance sheet and extend our financial runway, the closure of our stores due to the pandemic necessitated a more fulsome review to include the elimination of outstanding debt", Soltau said. The 118-year-old department store has 846 locations that employed around 90,000 people. The company at one point employed almost 200,000 people.

J.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.

Related News:



Most liked

Hackers demand $21 million ransom from lawyer to the stars
Posting a sample of stolen data is often done as a way to prove a hack has happened and put pressure on a victim to pay a ransom. The group demanded a ransom of $6 million in return for not deleting sensitive customer information.

NVIDIA's massive A100 GPU isn't for you
Announced at the company's long-delayed GTC conference, the A100 isn't intended for gamers, or even for workstation users. The card is also arriving packaged as a prebuilt system with the DGX A100 , a $199,000 server unit.

COVID-19 outbreak identified at Coquitlam fruit and vegetable plant
Over 1,900 people have fully recovered from COVID-19, bringing the recovery rate to about 79 per cent. But she recognized that not all businesses will be able to reopen under the new guidelines.

Trump vows to replenish Strategic National Stockpile of coronavirus PPE
Trump said the federal agency normally invests in economic development projects in other countries. Trump said during a visit to a Pennsylvania distributor of medical equipment.

Russian Federation registers more than 10,000 new coronavirus cases
Moscow , which has confirmed around half of all cases in the country registered 1,700 excess deaths in April compared to 24,200 excess deaths in NY , the Guardian reported .

Pioneering NASA mathematician Katherine Johnson dies aged 101
It was her groundbreaking math work that helped calculate the trajectories for Alan Shepard's history-making journey in space. Her work on the report made her the first woman in the Flight Research Division to receive an author credit for her efforts.

Rusty's Morning Forecast - First Alert Day with severe storm potential overnight
Arthur will push moisture into our area, which will augment the rain from a cold front moving in from the west late Monday . The storm risk will increase this afternoon and evening as a line drops in from the north and northwest.

Samsung unveils the Galaxy A Quantum featuring a quantum security chip
The SKT IDQ S2Q00, which is the world's smallest QRNG chipset (at 2.5mm x 2.5mm), uses an LED and a CMOS image sensor. The camera array features four sensors: a 64MP main, 12MP ultra-wide, 5MP macro, and 5MP depth sensor.

9 year old infected with Coronavirus has died
The Kawasaki disease is defined by high fever, breakouts, stomach discomfort, conjunctivitis as well as a red or puffy tongue. Kawasaki disease is a rare inflammatory disease, which attacks mainly infants and small children.

Powerful Earthquake Strikes Nevada, Felt In California And Utah
Reports on the USGS show people from Fresno, Visalia and other cities in Northern California reporting that they felt the shake. A magnitude-4.6 aftershock struck the same general area about 14 minutes later, followed by another of magnitude-4.9.

Redskins' Cody Latimer arrested, faces charges of assault, illegal discharge of firearm
He's entering his seventh NFL season after originally being selected 56 overall by the Denver Broncos in the 2014 NFL Draft. The Redskins brought the six-year veteran into the organization during March's free agency period with a one-year contract.

Mary-Kate Olsen's Emergency Divorce Filing Ruled 'Not Essential' Amid Coronavirus Pandemic
Ashley Olsen reaction to Mary-Kate's divorce to Olivier Sarkozy shouldn't be a surprise for anyone who has a twin sister. Mary-Kate and Olivier - who is 17 years her senior - tied the knot in November 2015, after getting engaged in 2014.

India 12th worst-affected country; crosses Canada’s COVID-19 tally
In Mumbai's slums, as many as seven people live in one room while the whole neighbourhood may be sharing a toilet complex. COVID-19 cases have more than doubled in a little over two weeks from around 34,000 on April 30 to 85,940 as on May 15.

Mysterious disease affecting children linked to coronavirus
Multisystem inflammatory sydrome in children was previously called pediatric multisystem inflammatory syndrome. Six of those confirmed also tested positive for the coronavirus , Persichilli said.

Trump calls on governors to reopen schools
For example, right now children presenting with COVID-19 who have a very odd inflammatory syndrome similar to Kawasaki syndrome. I think we know it's going to be even longer than three months", Garcetti said.