JC Penny store will close four stores in South Dakota this summer.
JC Penney Company, Inc. has announced it is implementing a plan to optimize its national retail operations as part of the Company’s successful return to profitability. Under the plan, the Company expects to close two distribution facilities and approximately 130 – 140 stores over the next few months, including the four South Dakota locations. Corporate Management says these strategic decisions will help align the Company’s brick-and-mortar presence with its network, thereby redirecting capital resources to invest in locations and initiatives that offer the greatest revenue potential.
Associates who will be impacted by the store and distribution center closures will receive separation benefits, which include assistance identifying other employment opportunities and outplacement services such as resume writing and interview preparation.
The total store closures represent approximately 13 – 14 % of the Company’s current store portfolio, less than 5% of total annual sales, less than 2% of EBITDA and 0% of net income.
Nearly all impacted stores are expected to close in the second quarter of 2017. The Pierre, Mitchell, Watertown, and Yankton JC Penny Stores will close their doors this year.
(KCCR)