Amid the good news about the economy that has come out in the last two months, some bad news was delivered this week – J.C. Penney, one of the nations largest retail companies, is laying off 2,000 people and closing 33 stores.
The news did not surprise most economists and those who keep an eye on the business world. J.C. Penney has struggled in recent years to compete with other retailers.
Still, company executives noted increased sales numbers from the end of 2013 as an indication that the turnaround plan under CEO Myron Ullman III is working.
All the stores are expected to be closed by May. J.C. Penney reported that the company will save about $65 million a year by closing the stores. The closings are part of a turnaround strategy being implemented by Ullman, who took over the troubled retail chain in April 2013.
Sales at J.C. Penney stories went up in the fourth quarter of 2013, reversing a downward trend of the last two years. The chain also still plans to open a new store later this year in Brooklyn, N.Y.
Overall, the chain has 1,100 stores and about 116,000 employees, according to USA Today. The article also pointed out that while J.C. Penney is seen as struggling, Macys – considered by many a strong retailer – has announced it will layoff even more employees, about 2,500.
Almost 40% of the store closings – 13 out of 33 – are in the Midwestern states of Wisconsin (which has 5, the highest number of any state), Illinois, Indiana, Michigan, Minnesota, Ohio and Iowa. There were also 10 closings in the South, if Florida is counted as a southern state. Other southern states losing stores are Alabama, Mississippi, North Carolina, Tennessee and Virginia.
Here is the complete list from J.C. Penney of the cities and towns across the country where they are shuttering stores.
- Selma, Ala.
- Rancho Cucamonga, Calif.
- Colorado Springs, Colo.
- Meriden, Conn.
- Leesburg, Fla.
- Port Richey, Fla.
- Muscatine, Iowa
- Bloomingdale, Ill.
- Forsyth, Ill.
- Marion, Ind.
- Warsaw, Ind.
- Salisbury, Md.
- Marquette, Mich.
- Worthington, Minn.
- Gautier, Miss.
- Natchez, Miss.
- Butte, Mont.
- Cut Bank, Mont.
- Kinston, N.C.
- Burlington, N.J.
- Phillipsburg, N.J.
- Wooster, Ohio
- Exton, Pa.
- Hazleton, Pa.
- Washington, Pa.
- Chattanooga. Tenn.
- Bristol, Va.
- Norfolk, Va.
- Fond du Lac, Wis.
- Janesville, Wis.
- Rhinelander, Wis.
- Rice Lake, Wis.
- Wausau, Wis.
