JC Penney to Cut 2,000 Jobs, Close 33 Stores

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The baker by Ted Baker boys clothing selection at an unidentified J.C. Penney. (credit J.C. Penney via CNN)

NEW YORK (CNNMoney) — The bad news continues at JC Penney.

The ailing retailer announced Wednesday that it was cutting 2,000 jobs and closing 33 “underperforming” stores, including one in Wooster, Ohio  in an effort to rein in expenses.

JC Penney store closures

The store closings — listed here — are likely to be complete by early May. J.C. Penney said it expected the moves to generate $65 million in annual cost savings.

“While it’s always difficult to make a business decision that impacts our valued customers and associates, this important step addresses a strategic priority to improve the profitability of our stores and position JCPenney for future success,” J.C. Penney CEO Mike Ullman said in a statement.

Investors weren’t impressed — J.C. Penney shares slid 1.1% in after-hours trading Wednesday following the announcement.

It’s been a brutal year for J.C. Penney, its stock falling over 60% in the past 12 months. The company has been losing hundreds of millions of dollars per quarter, and is in the midst of another turnaround effort after ousting former Apple executive Ron Johnson last year.

J.C. Penney’s announcement comes after rival Macy’s announced last week that it was laying off 2,500 workers and closing five stores.

6 comments

  • Rhonda

    Maybe if they would have gottn rid of that idiot who was in charge that ruined JC Penney, this wouldn’t be happening or maybe not such a huge loss of jobs & store closings. I’m sure JC Penney, the man & founder, would be disgusted to know how his company has been run.

  • Ashley Schwarz

    Maybe if they would have went back to the old way of doing things their stocks wouldn’t have gone down. The whole reason for them to bring Mike back was to turn it back but obviously the company never paid attention to what their customers wanted and instead wasted all those millions of dollars on transitioning into what customers don’t want. Look how busy Kohls always is, its because they know what customers want they give to their customers they don’t try to turn into Saks Fifth Avenue.

  • Lisa

    Kohls makes shopping easy for customers with a little thing like a shopping cart. Not JC Penneys. Years ago I bought my wedding dress and veil at Penneys bridal salon for less than $500. Now they think they are Saks or Nordstroms. It’s a real shame my parents have been lifelong Penneys shoppers.

    • maria

      Montrose has shopping carts. and the reason chapel doesn’t is because its 2 floors and the theft rate is higher so people would steal the stuff on the elevator.

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