JCPenney to close 152 stores, lay off 1,000 employees

US-based retailer JCPenney is set to close 152 stores and lay off 1,000 employees at its corporate, field management and international departments.

The move is part of a restructuring effort that the retailer says will create a smaller, more financially flexible company.

As reported, JCPenney filed for bankruptcy in May.

Last month the company received court authorization to access its debtor-in-possession (DIP) financing of some $450m in new money. The retailer gained access to $225m immediately and an additional $225m as needed after July 15, subject to certain conditions.

The retailer also announced that it would close 154 stores after a hearing with a bankruptcy court on June 11.

JCPenney was forced to temporarily close stores on March 18 due to the COVID-19 pandemic. As of June 4, the retailer has re-opened some 500 locations.