Pandemic pushes J.C. Penney into Chapter 11 bankruptcy
A view of a JC Penney during the coronavirus pandemic on May 12, 2020 in Queens borough of New York City. (Photo by John Nacion/NurPhoto via Getty Images)
NEW YORK - The coronavirus pandemic has pushed troubled department store chain J.C. Penney into Chapter 11 bankruptcy. It is the fourth major retailer to meet that fate.
Texas-based Penney said late Friday it will be reducing its store count and will be disclosing details and timing in the next few weeks.
It currently operates 850 stores and employs nearly 90,000 workers. It said that it received $900 million in financing to help it operate during the restructuring.
Penney joins luxury department store chain Neiman Marcus and J.Crew in filing for bankruptcy reorganization. Others are expected to follow. Still many experts are pessimistic about Penney’s long-term survival.