Post by Logan on Feb 24, 2017 19:37:50 GMT -6
J.C. Penney (JCP) plans to close up to 140 stores and offer buyouts to 6,000 workers as the department-store industry sags in competition with online sellers and nimble niche retailers.
The company said Friday that it would shutter 13% to 14% of its stores, representing about 5% of its annual sales, and two distribution centers.
The cuts come amid mounting challenges for once-stalwart department-store chains such as Macy's and Sears, which are aggressively closing stores and shedding costs as shoppers flock to alternatives.
Penney expects to save $200 million in annual costs in connection with the plan but will record an initial pre-tax charge of $225 million to cover the closure costs.
Read more: www.postcrescent.com/story/money/2017/02/24/jc-penney-store-closures/98344540/
The company said Friday that it would shutter 13% to 14% of its stores, representing about 5% of its annual sales, and two distribution centers.
The cuts come amid mounting challenges for once-stalwart department-store chains such as Macy's and Sears, which are aggressively closing stores and shedding costs as shoppers flock to alternatives.
Penney expects to save $200 million in annual costs in connection with the plan but will record an initial pre-tax charge of $225 million to cover the closure costs.
Read more: www.postcrescent.com/story/money/2017/02/24/jc-penney-store-closures/98344540/