“The way I would characterize JCPenney is a large, burning ship going full steam to reach dock before it sinks."
(Brian Sozzi)
In total, 33 closings were announced which will affect some 2,000 jobs.
Did the announcement about the store closings shock me? No. In fact, I was shocked there were not more than 33.
JCP is in a world of hurt.
The Forsyth store is/was in a world of hurt.
I wrote about this in my October 7 post here on MattChat -- give it a look.
This quote pretty much sums things up:
"It is highly unlikely that the company’s woes are isolated in only 3 out of every 100 locations."
(http://247wallst.com/retail/2014/01/15/j-c-penney-store-closures-likely-just-a-starting-point/ -- a really good, quick read)
The math there is that JCP operates around 1,100 stores. Closing 33 of them is equivalent to just 3% (33/1,100).
Such a tiny percentage for a company with such a tiny checkbook balance. In fact, one analyst said "We still have the company running out of cash in Q3 of 2015.”
We are really gonna miss the portrait studio the most. the gals there are awesome with our girls.
And I'm gonna miss those $10 off a $10 purchase coupons they send out.
Ohhhh.... I'll bet those free ten's helped push them under. Shame on me.
Out for now.....
Matt