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| Economy |
| 13 Large Retailers Besides J.C. Penney Are Closing Waves of Stores (Video) |
| 2017-03-22 |
| [The Street] The Great Restructuring in retail continues. In the wake of a disappointing holiday season, J.C. Penney (JCP) said recently that it will close 138 stores stores by the second quarter. The store closures represent 13% to 14% of the company's current store base and less than 5% of annual sales. They have a negligible impact on net income. J.C. Penney said same-store sales at the locations were "significantly below" the remaining store base and operate at a much higher expense rate due to poor productivity. The company expects $200 million in annual costs savings from the efforts. "We believe closing stores will also allow us to adjust our business to effectively compete against the growing threat of online retailers," J.C Penney Chairman and CEO Marvin Ellison conceded. The news shouldn't come as a shock. As TheStreet reported in January, Ellison said at a real estate conference the company would move to close more stores -- after shuttering seven last year -- following a lackluster holiday season. "We have certain locations that we readily admit we have to downsize," Ellison said, adding, "There are some smaller market locations where we have to decide, does the mall or our store meet our brand standards?" Here are several other retailers continuing to rightsize their store fleet amid the shift to digital shopping or other external pressures. |
| Posted by:Besoeker |
| #7 It's Amazon, WalMart, Big Box or die. Sears is seriously circling the drain, having sold off key assets such as Craftsman and sooner or later, Kenmore. |
| Posted by: regular joe 2017-03-22 14:28 |
| #6 It's amazon. |
| Posted by: g(r)omgoru 2017-03-22 14:20 |
| #5 Come on Besoker we can both head to South Dekalb Mall, it'll be fun |
| Posted by: Beavis 2017-03-22 11:34 |
| #4 Bought a hay spike last Thursday on line. Weighs 108 pounds. Free delivery. Got it yesterday. |
| Posted by: Deacon Blues 2017-03-22 11:27 |
| #3 Who can compete with free 2 day shipping on taxfree items delivered right to your door? Even on Easter Sunday morning! Or 2 hour delivery in select cities? Bezos has destroyed retail. |
| Posted by: Whavish Thusoling5684 2017-03-22 10:17 |
| #2 Here are several other retailers continuing to rightsize their store fleet amid the shift to digital shopping or other external pressures. "Other external pressures"... unreported urban shrinkage accepted as a cost of doing business and factored into pricing certainly gives on-line shopping a distinct pricing advantage. Not to mention patron store and parking assault and robbery. Visit a mall or city store anywhere in greater Atlanta? Sorry, not a fok'n chance. |
| Posted by: Besoeker 2017-03-22 09:47 |
| #1 I read a month or so ago the retail sector was not doing well. The Unaffordable Care Act resulted in creating a lot of low-paying jobs without benefits. The real unemployment rate is far greater than what is reported if on considers the labor participation rate and those who have dropped out of the workforce during the past 8 years. People are struggling and money is tight. |
| Posted by: JohnQC 2017-03-22 09:15 |