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J.C. Penney Co Inc. (JCP) stated on Wednesday that it plans to cut store count by approximately 29% to about 604, two days after filing for bankruptcy protection.
The U.S. department store chain considers closing more than a fourth of its stores to reduce costs amid the pandemic.
J.C. Penney did not identify which stores would close but said 192 would shutter this year and another 50 would close in 2021.
In its plan, the company had stipulated that the 604 remaining stores were its “highest sales generating, most profitable” and represented 82% of store sales last year.
"The go-forward business will be a smaller but more reliable, more productive, and more profitable enterprise. Although the network will be streamlined, we will still maintain nationwide coverage, allowing us to continue inspiring JCPenney shoppers across the country, the company’s business plan said.
J.C. Penney is hoping that e-commerce will help make up for the drop from store closures within a few years.
The company has 850 stores located in the United States and Puerto Rico.
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