JCPenney

About JCPenney

JCPenney filed for Chapter 11 bankruptcy on May 15, 2020. The department store chain had 12 billion in debt. JCPenney had been declining for years due to competition from Amazon, Walmart, and off price retailers. The COVID pandemic forced temporary store closures. CEO Jill Soltau attempted a turnaround focused on merchandise improvements but could not overcome the debt burden. JCPenney closed approximately 240 stores during bankruptcy. Simon Property Group and Brookfield Asset Management acquired JCPenney out of bankruptcy for 1.75 billion. The acquisition saved approximately 60,000 jobs. JCPenney emerged from bankruptcy in December 2020. The department store segment continues to face existential challenges from e commerce and changing consumer preferences.