[1/12/17] J.C. Penney CEO Marvin Ellison said at a Dallas real estate conference on Wednesday that the company is planning to close some of its 1,014 stores soon.
“We’re going through an analysis now,” Ellison said. “We have certain locations that we readily admit we have to downsize.” Macy’s comment comes a week after Macy’s said it will close 68 of its 730 stores. Mall apparel chain The Limited also closed its stores and Wal-Mart is expected to report corporate layoffs in Bentonville, sources told CNBC and The Wall Street Journal on Tuesday.
But he didn’t say how many stores would close this year. Last year, Penney closed 7 stores, mostly in smaller markets. Ellison appeared on stage Wednesday morning at the Bush Center in Dallas for a question and answer session with North Texas real estate veteran Herb Weitzman.
Store closings which result in job losses, Ellison said, are the hardest decisions and the only ones that give him “sleepless nights.”
“But there are some smaller market locations where we have to decide, does the mall or our store meet our brand standards,” he said. “If I wouldn’t want my children to work there or my wife to shop there, then we need to create standards with our mall partners to spend capital.”