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JCP: Our Turnaround Strategy is Working

Embattled by an unceasing stream of criticism, JC Penney issued a press release defending its turnaround efforts, citing a series of positive developments.

Rumors persistently circulate raising suspicions about JC Penney’s financial health. Just recently, it was widely reported that the iconic retailer is seeking another $1 billion loan in order to finance its efforts to recover its former glory.

The press release stated, “In response to inquiries, J.C. Penney said today that it is pleased with its progress thus far in the Company’s turnaround efforts and the traction its initiatives are starting to  achieve.  Moreover, the Company said it is starting to see greater predictability in its performance across many areas.

“The Company continues to be encouraged by improvements in purchase  conversion both in store and on, primarily due to being back in stock in key items and sizes the customer expects to find at J.C. Penney. Overall sales on continue to trend double digits ahead of last year.

“The Company still anticipates it will experience positive comparable store sales trends coming out of the third quarter and throughout the fourth quarter of 2013.”

CEO Mike Ullman, driving the point home with maximum force, reassured investors that JC Penney is not seeking additional liquidity and has no plans to in the proximate future. In response to Ullman’s remarks, JC Penney’s stock immediately jumped 4.5% to $10.55.