JC Penney, who filed for Chapter 11 bankruptcy protection on May 15, announced that it reopened 150 more outlets in 27 states, taking to 304 the total number of stores the retailer brought back for business in the ongoing global crisis. By June 3, it expects to reopen around 500 stores.
But the business restart comes at a same time JC Penney is considering to permanently shutter many locations to cushion the losses that led to the bankruptcy filing.
The company bared plans to shut 192 shops this year a day after the filing, though the group has yet to determine which branches. JC Penney plans to shut another 50 locations in 2021. The company, together with other department store networks, closed all stores by middle of March.
The Plano, Texas-headquartered department store chain begun to reopen a few dozen shops one week prior to the May 15 bankruptcy filing, and it opened over 100 stores the week after the filing.
JC Penney is taking all the necessary safety measures to contain the spread of COVID-19, which includes staggered work schedules and deep disinfecting protocols.
Protective personal equipment for associates is required and the firm is providing gloves, face masks and hand sanitizers. The company has added Plexiglass shields to its checkout counters and contact-less checkout from customers' mobile phones via barcodes.
The company has also imposed special shopping hours for senior citizens and other customers who are at risk or have existing health issues.
JC Penney continues to be updated on guidelines set by the Centers for Disease Control and Prevention, as well as local and state mandates to inform its safety measures, adhering to strict health precautions and going above and beyond such recommendations.
Jim DePaul, JC Penney executive vice president of stores, said in a media release and as reported by Eric Heyl of Patch, they are thrilled to "welcome back loyal customers and dedicated associates." DePaul pointed out that feedback has been "overwhelmingly positive as we reopen our doors, focused primarily on enhanced safety measures."
JC Penney is among many retailers to file for bankruptcy protection in the last weeks. On May 4, clothing retailer J. Crew filed for bankruptcy, followed by another bankruptcy filing from Neiman Marcus, May 7. Three days later, Stage Stores filed its own, and discount goods retailer Tuesday Morning also filed this week.
A bankruptcy filing does not mean a business will permanently shut down. Many companies have used it to shed mounting debt and terminate non-earning operations that later on led them to survive and even succeed.
