- Update May 2020: JCPenney filed for Chapter 11 bankruptcy protection and in September 2020, Brookfield Asset Management and Simon Property Group agreed to purchase the company for around $800 million in cash and debt. The deal was approved by the U.S. bankruptcy court for the Southern District of Texas two months later.
J. C. Penney reports EPS in-line, misses on revs, comps -6% on unshifted basis; expects free cash flow to be positive for FY19: names Michelle Wlazlo as chief merchant
- Reports Q4 (Jan) earnings of $0.18 per share, excluding non-recurring items, in-line with the S&P Capital IQ Consensus of $0.18; total net revenues fell 9.5% year/year to $3.67 bln vs the $3.75 bln S&P Capital IQ Consensus.
- On a shifted basis, comps were -4.0% and on an unshifted basis, comps were -6.0%.
- Outlook: Co expects free cash flow to be positive for fiscal 2019. In terms of its Store Closures Update, the co will close 18 full-line stores in 2019, including the three locations previously announced in January. In addition, the co will also close 9 ancillary home and furniture stores, further aligning its brick-and-mortar presence with its omni-channel network. Comps for the closing stores were significantly below the remaining store base. Nearly all impacted stores are expected to close in 2the second quarter of 2019.
- Co also announces the appointment of Michelle Wlazlo, who will join the company as executive VP, chief merchant, reporting to CEO Jill Soltau. Most recently she served as senior VP of apparel and accessories merchandising at Target (TGT) where she helped lead the company's strategy and implementation of a robust merchandising program that included transforming the presentation of 1,400 stores and launching 15 new private brands. Co also announces that it has filled two additional key senior executive positions.