JCPenney could file for bankruptcy next week

[left-of-center2012]

J.C. Penney Co Inc (JCP.N) is preparing to file for bankruptcy protection as soon as next week with plans to permanently close about a quarter of its roughly 850 stores, becoming the latest major U.S. retailer to succumb to fallout from the coronavirus outbreak, according to people familiar with the matter.

A bankruptcy filing would cap a long decline for the iconic 118-year-old department store chain, which struggled with a nearly $4-billion debt load and competition from e-commerce firms and discount brick-and-mortar retailers even before the pandemic’s onset.

The Plano, Texas-based company, which employs nearly 85,000 people, is in discussions with creditors for a so-called debtor-in-possession loan to bolster its finances while it navigates bankruptcy proceedings, the sources said. The loan could total between $400 million and $500 million, some of the sources said.

J.C. Penney has not made a final decision on how to address its strained finances, and is also considering alternatives that include negotiating a deal with creditors outside of bankruptcy court or obtaining additional financing, the sources said.

https://www.reuters.com/article/us-jc-penney-bankruptcy-exclusive-idUSKBN22K20F?taid=5eb5b585bddf9800017baa01&utm_campaign=trueAnthem:+Trending+Content&utm_medium=trueAnthem&utm_source=twitter

[The Velveteen Ocelot]

1. They haven't been doing well for years, and

it seems like their merchandise has become steadily cheesier and more K-Mart-ish. Used to call them "Jacques Penné" because they tried to come across as higher-end than they really were.

[Desert grandma]

2. One of my daughters works there part time.

She works in their salon and the store here has done well. It is one of the few locations where JCP owns the store building it is using, so we are praying it will remain open.