Retail Giant With Iowa Locations Announces Closings
A retailer that you probably grew up going to has announced today that it will be closing up to 140 stores.
JCPenney announced earlier this morning that it will be shutting down 130-140 stores and two distribution facilities, according to a Fox Business report. The stores that will be closed either "needed expensive upgrades" or had "weak sales".
JCP has not revealed just how many jobs will be lost due to the closings, but the company has told CNN that they will be "offering early retirement to 6,000 full-time employees."
The belief is that this will give JCP a chance to cut locations that are underperforming, renovate their online-shopping experience, and better optimize the remaining physical locations. Thus, saving millions a year.
JCPenney will take a $225 million hit to its earnings from the cost of closing the stores. But it expects to save $200 million a year in payroll and other costs."-CNNMoney
Iowa has several JCPenney locations including one right here in Cedar Rapids at Westdale Mall and another in Coralville. Let's hope we get to keep those locations!
CNN states that by the end of June the affected locations will be closed. Those stores won't be announced until the middle of March.