JC Penney To close 13 More Stores

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J.C. Penney is set to close 13 more stores this summer as it works toward restructuring its business in bankruptcy court.

The department store announced Monday evening the list of the locations, which faces court approval and includes two in New York and one in California.

It said these going-out-of-business sales are set to begin on or around July 3.

Penney previously released a list of 154 stores that it planned to close this summer, with store closing sales kicking off this month. It started liquidation sales at 136 locations last week.

When it filed for Chapter 11 bankruptcy protection on May 15, it had roughly 860 stores. It employed about 90,000 workers as of February. It is not immediately clear how many workers will be impacted by the closures.

The Covid-19 crisis forced retailers deemed nonessential to shut stores temporarily. For Penney, the pandemic disrupted kicking off liquidation sales, which were stalled until its shops could reopen again.

The additional closures come amid multiple parties reportedly expressing interest in acquiring Penney and its remaining locations.

Two of the biggest mall owners in America, Simon Property Groupand Brookfield, are exploring buying the bankrupt department store chain along with Barneys New York owner Authentic Brands Group, according to a Bloomberg report. The three previously teamed up to buy Forever 21.

ABG CEO Jamie Salter had told CNBC in an interview earlier this month that he viewed Penney as a company worth saving.

“I think there is a place for J.C. Penney,” Salter said. “They have been floundering. They haven’t really found their spot. … But I think there is a play for J.C. Penney. I think J.C. Penney needs a purpose. And I have my ideas on what it should be.”


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