J.C. Penney must navigate almost entirely uncharted territory as it looks to shed debt and emerge from bankruptcy a stronger company amidst a pandemic.
J.C. Penney held a bankruptcy court hearing by phone on Saturday, a day after filing for bankruptcy.Those plans include financing that it will get on July 15 only if it meets stringent financial milestones, or to fund a potential sale.
Law firm Kirkland & Ellis' Josh Sussberg walked the judge through the chain's iconic history — starting from its founding under the vision of James Penney, through its rise as a go-to department store for suburban America, and its lost footing as it churned through CEOs and battled the rise of online retail.
The retailer had, in fact, been in discussions about transactions to address its debt load prior to the pandemic, said CFO Bill Wafford in a court declaration. That money, though, will not be made available to J.C. Penney all at once. The company will likely receive the first half after a June court hearing and the second half on July 15. But it will only receive that second half to support its business if it meets milestones required of it by its bankruptcy lenders. Otherwise, the funds will go towards funding a potential sale. Kirkland's Sussberg said J.C. Penney has already begun to receive outside interest in the company.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
J.C. Penney files for Chapter 11 bankruptcy, plans some permanent store closingsJ.C. Penney, reeling from a one-two punch of the department store industry’s struggles and the coronavirus pandemic, filed for Chapter 11 bankruptcy.
Read more »
Long-struggling JC Penney files for bankruptcy as coronavirus crushes hopes for a quick turnaroundJ.C. Penney, weighed down by debt and battered by the coronavirus, has filed for bankruptcy. The retailer employed roughly 90,000 full- and part-time employees as of February.
Read more »
Boomer Favorite J.C. Penney Is Facing ExtinctionDuring my youth, one of the best things my mom could tell me was that we were going to spend the day at the Palisades Mall in West Nyack, New York. The place felt huge; it had a Ferris wheel overlooking the food court and there was also a Chili’s on the fourth floor. But the worst part of any mall trip, inevitably, was the hours-long sojourn through the many levels of J.C. Penney. The racks of clothes felt unending, and any time we got close to an exit some new section of merchandise would catch my mother’s eye. But according to a report in Women’s Wear Daily, my experience may be going the way of the dinosaurs as malls across America prep to lose the perennial anchor store, J.C. Penney, which faces “bankruptcy and possibly extinction.”
Read more »
JC Penney could join a growing list of bankruptcies during the coronavirus pandemicThe economic uncertainty driven by the Covid-19 pandemic has pushed struggling companies over the edge into bankruptcy proceedings.
Read more »
J.C. Penney Halts TradingIt’s widely believed that Penney’s will reveal it is filing for bankruptcy protection.
Read more »
J.C. Penney makes $17 million interest payment, will continue to weigh its optionsJ.C. Penney Co. Inc. undefined announced Friday that it has made an interest payment on its senior secured term loan credit facility, about $17 million, and...
Read more »