the locations that continued to operate as Eckerd, Cannes Lions International Advertising Festival, J. C. Penney-Chicago Store (Tucson, Arizona), J. C. Penney Company Building (Shoshone, Idaho), J. C. Penney Co. In the 1960s, JCPenney expanded to include Alaska, Hawaii, and Puerto Rico. [97] After 91 years, it was delisted from the New York Stock Exchange on May 18, 2020, and became listed in OTC Pink. It also reorganized its executive structure around the office of the chairman. [49][50] Prices would also not end in 9 or 7 and would instead use whole figures to price items. Though the company has been struggling for the past several years, JCPenney cites COVID-19 as a large reason for Fridays bankruptcy filing. The former included Zonz, an Arizona offshoot for teens, and new additions to its menswear collection; the latter concerned a joint venture with the Coffee Group of Costa Mesa to install "JC Java" coffee bars in 800 of its stores, beginning with a handful in Orange Country, California in the fall of 1997. [12] In 1898, Penney went to work for Thomas Callahan and Guy Johnson, who owned dry goods stores called Golden Rule stores in Colorado and Wyoming. JCPenney avoided bankruptcy after the company paid down paid $17 million in debt on Friday after missing two previous payments.JCPenney has an estimate $3.6 billion in debt. J. C. Penney denied that the ad was theirs and their advertising agency Saatchi & Saatchi reported that it had been created by a third-party vendor. Kramer consequently laid off 1,600 employees to change the company's workplace culture. [115], On September 9, 2020, Brookfield Property Partners and Simon Property Group agreed to purchase JCPenney for about $800million, including $300million in cash and assuming $500million of debt,[116] which was later approved by the court on November 10, 2020. Penney's first job was clerking in a general store for a salary of $2.27 per month. [72] In February, J. C. Penney opened a support center in Bangalore, India. 1974: In addition to shopping mall expansions, JCPenney establishes a plan to build smaller retail stores in less urban areas. Well-known J.C. Penney staff along with current and former J.C. Penney employees were and still are crucial to the company's success, as without these hard working men and women J.C. Penney would never be what it is today. Copyright (c) 2022 Company-Histories.com. [67] S&P cited J. C. Penney's 37% fall in market value to $2.7billion (equivalent to $3.14billion in 2023) was "more representative of the mid-cap market". 1996: Penney acquires the Eckerd Drug Corporation. She previously served as the Plano company's chief digital officer and . The next year, 1994, JCPenney was still riding the crest of its Arizona wave and introduced Little Arizona denimwear for toddlers. Fox News . - In 2018, Ellison left Penney to join home improvement chain Lowe's Cos Inc. The space that became available was then used for women's apparel. While the company was riding high on these achievements, the recession that began in 1974 took its toll. The company continued to open stores at a fast clip. The company also introduced a communications system for broadcasting directly to its stores using satellite transmissions from headquarters. J. C. Penney acquired The Crescent Corset Company in 1920, the company's first wholly owned subsidiary. This store was located at Black Horse Pike Center in Audubon, New Jersey. This gave the company the cost-saving advantages of being centralized, but also allowed it to be sensitive to fashion and seasonal preferences in local markets. J. C. Penney became the fourth major national retailer to file for bankruptcy in May 2020. 1988: JCPenney relocates its New York corporate headquarters, located at Avenue of the Americas and 52th Street, to Plano, Texas. JCPenney now operates 354 full-line department stores, 1,289 soft goods stores, 31 Treasury discount stores, and 255 drug stores. Web. The company has been an Internet retailer since 1998, and it has streamlined its catalog and distribution while undergoing renovation improvements at store level. JCPenney reenters the major appliance business. In April 2022, JCPenney's ownersSimon and Brookfield offered $8.6 billion to purchase Kohl's. JCPenney CEO Jill Soltau speaks during an interview in Fort Worth, Texas, in 2019. The catalogs were distributed by the Milwaukee Catalog distribution center. Web. J.C. Penney Company, Inc. views 3,475,015 updated May 21 2018 J.C. Penney Company, Inc. 6501 Legacy Drive Piano, Texas 75024-3698 U.S.A. Telephone: (972) 431-1000 Toll Free: (800) 953-9421 Fax: (972) 431-1362 Web sites: http://www.jcpenney.net ; http://www.jcpenney.com Public Company Incorporated: 1913 Employees: 267,000 Will your store shutter? The stores were closed due to low profitably and high expenses. Photograph by Nancy Newberry for Fortune JCPenney CEO Marc Rosen has no intention of adding to the. [82] In May, J. C. Penney reported an adjusted loss of $69million in the first quarter, even worse than Wall Street predicted, and lowered its projections for the year. With this deal, Sephora will remain affiliated with, and under control of, the Simon and Brookfield retail portfolio, therefore superseding and annulling previous agreements for Sephora to leave JCPenney in favor of Kohls. St. James Press, 1997. Ron Johnson's tenure as CEO of J.C. Penney was arguably the biggest retail disaster in history. This lost decade signals that . 18. In 1983 JCPenney announced a $1 billion program to give its stores facelifts and rearrange merchandise. This list is a directory of the best J.C. Penney employees, showcasing only the most prominent J.C. Penney employees of all time. The jcpenney.com website becomes the largest online retailer of apparel and home furnishings. Shashoua, who also serves as chief investment officer of . ThereAbouts, casual wear for boys and girls, North Pole Trading Co, Christmas decor & bedding, Marathon Hats (the first JCP private brand), Loom + Forge, modern home decor, bedding, and window, The Treasury / Treasure Island a chain of discount stores that JCPenney closed in the 80s. [91] On May 21, J. C. Penney announced that Shawn Gensch will be the Chief Customer Officer to take effect on June 3. Jake Lahut , Oma Seddiq, and Lauren Frias. Customers liked them because of controlled quality and cheaper prices than brand names; Penney liked them because he could control the price and make a higher profit margin. With the acquisition of the bank, the company became able to issue its own Mastercard and Visa Inc. cards. Web. List is made up of a variety of people, including Sam Walton and Allen I. Questrom. Stock Symbol NYSE: JCP JCPenney Executive Team & Key Decision Makers Show Me More Executives [94], On March 15, 2020 when businesses were ordered to temporarily close in many States, the chain closed all of its stores and furloughed its employees. The move was considered controversial then as no other high-end designer up to that point in time had licensed their designs to a mid-price retailer. In a regulatory filing, it was disclosed that J.C. Penny CEO Jill Soltau received a $4.5 million bonus. [65], During a November 2013 conference call to Wall Street analysts, Ullman announced that J. C. Penney is "restoring initial markups necessary to support the return [to a] promotional department store strategy" with "gross margins, currently 29.5 percent of sales versus 32.5 percent a year ago, were lower due to the impact of clearance sales to eliminate inventory overhang and to transition back to the promotional pricing strategy the company is known for. The first store, which opened April 14, 1902, was located in Kemmerer, Wyoming. As Penney's personal wealth increased, so did his charity. [78] By closing stores and distribution facilities, J. C. Penney would redirect resources to help expand its store-in-store Sephora boutiques, and add Nike and Adidas boutiques, similar to what Macy's has done with Finish Line, Lids and LensCrafters. [24], In 1978, the J. C. Penney Historic District in Kemmerer, Wyoming, was designated a U.S. National Historic Landmark. [93], On January 19, 2020, J. C. Penney announced plans to close six stores. He called it "The Golden Rule" to symbolize his belief that the Golden Rule should apply to business life as well as to personal life. Opinions expressed by Forbes Contributors are their own. - Eliminated Penneys catalog. JCPenney focuses on internet sales as its best source for future growth. Johnson came in guns blazing as CEO of J.C. Penney in November 2011. At the same time, William Batten, a vice-president, conducted a study in 1957; the results indicated the company should adapt to changing consumer spending habits, especially by beginning to sell on credit instead of for cash only. JCPenney announced Oct. 25 the appointment of Marc Rosen as CEO, effective Nov. 1. The company closed the Treasury discount stores in 1980 because they were unprofitable and decided to focus resources on its JCPenney stores. JCPenney has a new CEO. He was paid a total of $34,561,322 in 2011. [41], On January 24, 2011, J. C. Penney closed down its catalog business which had been operating 1963, with this the 19 catalog outlet stores also closed down. On December 30, 2020, it was announced that Jill Soltau would step down as CEO of JCPenney, effective December 31, 2020. Dylan Hollingsworth/Bloomberg/Getty Images. JCPenney CEO's of the past and present have taken very different approaches to solving this problem and that will be discussed throughout this paper. The company's five regional operations were narrowed to four in 1988 to make communication between merchandising divisions and stores easier. [47], In January 2012, the company's chief operating officer at the time, Michael Kramer, revealed to The Wall Street Journal that more than 30 percent of the bandwidth of J. C. Penney's headquarters was used for the viewing of YouTube videos during that month alone. The company discontinues its major appliances department after only 3 years. Penney became chairman of the board in 1917, when the company had 175 stores, and Earl Sams became president. Other big retailers started in mail-order and then launched into retail stores. In 1962, J. C. Penney entered discount merchandising with the acquisition of General Merchandise Company which gave them The Treasury stores. It abandons its cash-only trading policy and establishes a credit operation. JCPenney to Hire 650 Seasonal Workers in Chicago Area. The stores, located in the Lombardy region, are sold in 1977. [59] In August, William A. Ackman, of Pershing Square Capital Management, continued his efforts to remove Thomas Engibous, the company's chairman of the board of directors. On July 31, JCPenney opens a Manhattan store located in the former Gimbels building on 33rd Street. After graduating from high school, Penney worked for a local retailer. [16][17] The company rebuilt the store as a shorter building on a larger footprint and followed up by building Anchorage's first public parking garage, which opened in 1968. Accentuating the positive, the company announced that its Gift Registry (introduced in 1994) had already signed up 125,000 registrants (100,000 brides and 25,000 newborns) and planned to hit 250,000 by the end of 1996, while another new venture in home furnishings opened four new stores in 1995 (a Las Vegas store attracted 10,000 patrons on its first day alone) with plans for another 20 locations on the drawing board. ", "JCPenney Store Closings JCPenney Company Blog", "JCPenney will close nearly 30% of its stores as part of its bankruptcy plan", "J.C. Penney liquidation sales at 136 closing stores underway with discounts up to 40% off", "13 more J.C. Penney store closings revealed: Department store continues bankruptcy store closures", "Forever 21 Bailout Team May Rescue JCPenney", "Bankrupt JCPenney, Sycamore Partners in acquisition talks: Report", "As Reports Swirl, What Could Amazon Want From JCPenney? By the opening of the 1,000th store in 1928, gross business had reached $190million (equivalent to $3billion in 2023). On June 22, J. C. Penney identified an additional 13 stores that would be permanently closed. He implemented the principles of his former partners and expanded the chain throughout the Rocky Mountains by allowing his store managers to buy a one-third partnership in new stores, provided they had a trained salesperson to take their place as manager at the old store. Annual sales reach $4 billion. Penney OpCo LLC, doing business as JCPenney and often abbreviated JCP, is an American department store chain that operates 667 stores across 49 U.S. states and Puerto Rico. [27][28] Then in November 1996 they acquired the Eckerd chain. On the heels of these triumphs came a two-for-one stock split in March 1993; a new advertising campaign reflecting the company's invigorated stance (JCPenney--Doing It Right); year-end retail sales just shy of $19 billion (up 5.4 percent); and income of $940 million (up 21 percent) due in part to stronger catalog sales of $3.5 billion (an 11 percent increase). For its founder, see, Acquisitions and international expansion: 1990s, Locations listed on the National Register of Historic Places. List of notable or famous J.C. Penney employees, listed alphabetically with photos when available. They were prototypes for the JCPenney stores of the next two decades. - In 2018, Ellison left Penney to join home improvement chain Lowe's Cos Inc LOW.N. These discount operations proved unsuccessful and were shuttered in 1981. [15] By 1941, J. C. Penney operated 1,600 stores in all 48 states. Retail analysts who followed JCPenney called the company's decision difficult but necessary. The original Mother Store has remained in operation. [100] On July 7, 2020, J. C. Penney announced that they would close two stores in New York City; one at the Manhattan Mall, which was closed immediately and the Kings Plaza store in Brooklyn, which closed on Sunday, September 27, 2020. In the early 21st century the company operated more than 800 stores in the United States and Puerto Rico. By 1912, Penney had 34 stores in the Rocky Mountain States. The ad won a prize at the Cannes Lions International Advertising Festival. Source: International Directory of Company Histories, Vol. [45], In October 2011, J. C. Penney sold the 15 remaining catalog outlet stores to SB Capital Group, the stores were then converted into JC's 5 Star Outlets. The closure announcement was paired with news that the retailer had suffered a 4% decline in same-store sales during the 2018 holiday quarter. 2019: Jill Soltau, named CEO in October 2018, helps develop a new concept store for JCPenney. Key Points. The company needed bigger headquarters because it had grown significantly in 38 years; it built a 45-story office in New York in 1964, where the company stayed until its later move to Dallas. A fourth catalog distribution center, in Lenexa, Kansas, was added in 1978. 2014. The Penney Building in Anchorage partially collapsed and was damaged beyond repair in the 1964 Alaska earthquake. Less than a month after JCPenney exited Chapter 11, CEO Jill Soltau has left the department store retailer. A plan is devised to close multiple stores in order to improve cash flow. In 1954 Penney created the James C. Penney Foundation (its predecessor, the J.C. Penney Foundation, went under during the Depression) to continue his philanthropy, and in 1957 he served as a charter member of the Distributive Education Clubs of America, helped create the Junior Achievement Clubs, and endowed a chair at Westminster College. The line, named Halston III, would not last long, as it would be poorly received and discontinued after about a year. The launch, which was accompanied by an ad campaign during the 80th Academy Awards, was the company's largest private brand launch. JCPenney announced that it has hired Marc Rosen as its new CEO. As JCPenney struggles with missed debt payments and prepares for a possible bankruptcy filing, it approved bonuses of $1 million or more to its top four executives . After Rite Aid finalized its acquisition of Eckerd in 2007, the Catalog Centers inside the soon-to-be-converted stores permanently closed. WGN Web Desk, and Associated Press. Stores were opened in Anchorage and Fairbanks, Alaska in 1962, followed by Honolulu, Hawaii in 1966, and Puerto Rico in 1968. [13] He participated in the creation of two more stores and purchased full interest in all three locations when Callahan and Johnson dissolved their partnership in 1907. [102][103] As of June 2021, there have been a total of 175 store closures. [71] That same year, the company announced that it was liquidating its The Foundry Big & Tall Supply Co. chain of standalone clothing stores. Marketing expert John Tantillo advised that the company distance itself from the commercial and also shed the publicity it engendered.[126]. Seventeen monthsand many, many mistakeslater, he's out of a job. The company lowered its earnings forecast for the year to 13 cents per share at best, and said it could lose as much as 7 cents. [11] It had been established that once the company emerges from bankruptcy it is poised to save nearly 60,000 jobs, according to various independent studies. [citation needed]At the same time in June, the company would sell off its shares of Lojas Renner, the Brazilian-based retailer. 1998: JCPenney joins the internet shopping era with jcpenney.com. [46], On December 7, 2011, J. C. Penney purchased 16.6% of Martha Stewart Living Omnimedia stock. JCPenney CEO Marc Rosen Chief Executive Officer Phone Email See Profile Key Employees of JCPenney Stephanie Plaines Chief Financial Officer Phone Email John Aylward Chief Marketing Officer Phone Email Andre Joyner Senior VP & Chief Human Resources Officer Phone Email Sharmeelee Bala Senior VP & Chief Information Officer Phone Email James DePaul The deal was approved by the U.S. bankruptcy court for the Southern District of Texas two months later. Seibert remained chairman, Neppl moved to the new vice chairmanship, and William Howell was made an executive vice president. In January 2016, J. C. Penney announced plans to relaunch its business of selling major appliances to target a wave of millennials who are buying first-time homes. J. C. Penney logo,[127] originally used from 1971 to 2011 and again from 2013 to 2019. The company reports an accumulated $3.7 deft load on February 1. In 1969, the company acquired Thrift Drug, a chain of drugstores headquartered in Pittsburgh, Pennsylvania. It would take almost a decade to achieve the goals outlined in the JCPenney stores positioning statement, issued in 1982. [111][112][113] On July 8, J. C. Penney submitted their bankruptcy exit plan to existing lenders, and also requested more time for negotiations. Moving its corporate headquarters to just outside Dallas, Texas, JCPenney was able to cut $60 million from its annual budget although about 1,250 New Yorkers lost their jobs. With over 1,200 stores in all 50 states as well as Puerto Rico, Mexico, and Chile, J.C. Penney Company, Inc. (JCPenney) is the largest department-store retailer and catalog merchant in the United States, with licensing agreements for its products throughout the world. Finally, we can read about how these great companies came about with Company Histories.. [citation needed] Currently, Seattle's Best Coffee is still expanding caf locations within J. C. Penney locations across the country. Photo: Metaweb (FB) Ken Skistimas Age: 47 Michael T Theilmann By the end of 1986, there were 1,482 JCPenney stores dotting the country, about to undergo a major change. By Brittain Ladd 06/10/19 3:45pm Former J.C. Penney CEO Ron Johnson. In 1981 when the company's sales totaled $11.9 billion, JCPenney was the first to sell zero-coupon bonds in domestic public markets. [75] The land has since been broken up and sold/developed. In 1986 JCPenney acquired Units, a chain of stores selling contemporary knitwear and by the next year the company was well on its way to achieving the goals it set forth in 1982. While the company responded to a shaky economy and adjusted its retail businesses accordingly, its insurance division far outshined other operations with a pre-tax income surge of 44 percent from 1990's $55 million to $79 million in 1991. Penney's CEO, who joined the company in November after serving as executive vice president and president of Levi Strauss Americas, announced the additions of Sharmeelee Bala . Annual sales total $2,800. "[66] Ullman is removing the radio frequency identification technology and returning to security tags because shrinkage has "added 100 basis points on margins in the third quarter". Thrift Drug celebrated its 50th anniversary in 1985; JCPenney's total year-end sales hit $13.6 billion. Other brands for juniors and young men's were launched that summer. JCPenney's new owners, Simon Property Group and Brookefield Asset Management, which purchased the ailing retailer after it filed for bankruptcy in May, have launched a search for a new CEO to replace Soltau. By 1915 the company had 83 stores and the next year ventured east of the Mississippi River for the first time with stores in Wausau and Watertown, Wisconsin. CEO Ron Johnson, who began his tenure in November 2011, tries to develop Americas favorite store by creating a specialty department store experience. The executive leadership understands the risks but goes forward with the plan. "Penney . Executive Summary. Retail sales increased only 0.9 percent for the year ($20.6 billion vs. $20.4 billion), income fell from 1994's outstanding $1 billion to $838 million, and comparative store sales experienced a 1.4 percent drop. JCPenney's stock plunged from a high of $51 a share to $17. (Photo by Justin Sullivan/Getty Images), In 1961, James Cash Penney compares pictures of. Web. 1922: Penney operates 371 stores with annual sales of $49 million. After several ups and downs in Longmont, Colorado, Penney started working for the Golden Rule Mercantile Company, a dry goods retailer founded by T. M. Callahan. In April 1987, the company announced that it was moving its headquarters to Plano, Texas. [98], On March 18, J. C. Penney announced all retail stores would temporarily close in response to the global COVID-19 pandemic until April 2. The company opened its 500th store in 1924 in Hamilton, Missouri, James Cash Penney's hometown. Linden Street is sold exclusively in J. C. Penney stores and through its website. SAN BRUNO, CALIFORNIA - MAY 15: The parking lot in, front of a JCPenney store at The Shops at Tanforan Mall on May 15, 2020 in San Bruno, California. Penney enters the appliance business with its Penncrest brand, manufactured by GE Hotpoint. A sixth catalog distribution center was also opened in 1982, in Manchester, Connecticut.