Majors

JC Penney Exits Bankruptcy

MajorsDec 10, 2020

JC Penney Exits Bankruptcy

The retailer sold its retail and operating assets to Simon Property Group and Brookfield Asset Management in a deal valued at $800 million.

JC Penney has exited bankruptcy, completing a deal that keeps 650 of its 850 locations open.

Plano, Texas—JC Penney has exited bankruptcy proceedings just in time for the holidays.

The retailer completed the sale of its retail and operating assets in an $800 million deal with mall owners Simon Property Group and Brookfield Asset Management.

The deal is expected to keep 650 of its 850 locations open and save 70,000 of its 85,000 jobs.

“Today is an exciting day for our company, as we have accomplished our goal of putting JCPenney on a secure path for the future as a private company so that we can continue to serve our loyal customers,” said JC Penney CEO Jill Soltau in a statement.

Simon Property Group CEO David Simon added: “We have always been firm believers in JCPenney, and are very pleased to help preserve this iconic institution and save tens of thousands of jobs.”

The court also approved the company’s reorganization plan to split itself into two parts: a retailer and a property holding company, comprised of 160 of its real estate assets and all of its owned distribution centers.

With the sale completed, JC Penney now also has access to $1.5 billion in new financing.

In National Jeweler's 2020 State of the Majors report, J.C. Penney stood at No. 8 on the list of $100 Million Supersellers, with an estimated $641 million in annual jewelry and watch sales. 

Lenore Fedowis the associate editor, news at National Jeweler, covering the retail beat and the business side of jewelry.
tags:

The Latest

Policies & IssuesMay 14, 2021
Petra Reaches $6M Settlement Amid Claims of Human Rights Abuses

A report by a nonprofit documented an alleged seven deaths and 41 assaults on artisanal miners at the Williamson mine in Tanzania.

AuctionsMay 14, 2021
Phillips’ New Selling Exhibition Celebrates Female Designers

It features pieces from the likes of Solange Azagury-Partridge, Suzanne Belperron, Marina B, and Silvia Furmanovich.

Recorded WebinarsMay 14, 2021
Watch: Dissecting the Vintage Watch Craze

Watchfinder & Co. US Country Manager Edouard Caumon talks the timepieces retaining value and current marketplace trends.

Brought to you by
How to Engage and Sell to Millennials

Millennials were once feared in the diamond industry, but now this younger generation has become today’s largest diamond buying demographic.

TrendsMay 14, 2021
Piece of the Week: Deirdre Featherstone’s Amber Drop Earrings

They’re perfect for welcoming “Springtime in New York.”

Weekly QuizMay 14, 2021
This Week's Quiz
Test your knowledge of jewelry news from the week of May 10-14, 2021.
Take the Quiz
AuctionsMay 13, 2021
The 100-Carat ‘Spectacle’ Diamond Sells for $14M

It sold at the low end of its estimated range at Christie’s jewelry auction in Geneva.

SourcingMay 13, 2021
Fura Gems Launches Membership-Based Marketing Program

The Fura Marketing Council will offer advertising materials, sales training, product promotion initiatives, business consulting, and more.

Brought to you by
A New Golden Age

Gold has had its share of ups and downs over the last 5 decades. Here’s why the metal is having another big comeback.

TechnologyMay 13, 2021
Tacori Bridal Collection Heads to Brilliant Earth

The customization-friendly retailer will carry more than 20 of Tacori’s most popular bridal designs.

×