Big box retailer JC Penney filed for bankruptcy Friday after making a $17 million interest payment.
May 15 (UPI) — Big box retailer JC Penney filed for bankruptcy Friday after making a $17 million interest payment.
After years of dwindling sales capped off by the coronavirus pandemic that has shuttered its stores for weeks, the company said it secured $900 million in debtor-in-possession financing. The funds will ensure JC Penney remains open while it works its way through bankruptcy.
« Until this pandemic struck, we had made significant progress rebuilding our company under our plan for renewal strategy — and our efforts had already begun to pay off, » CEO Jill Soltau said. « While we had been working in parallel on options to strengthen our balance sheet and extend our financial runway, the closure of our stores due to the pandemic necessitated a more fulsome review to include the elimination of outstanding debt.
