A department store that was once a staple in malls across the country may be shutting down its store near you. On Thursday, Oct. 8, JCPenney filed documents in court announcing that it would be closing 144 of its stores following an initial bankruptcy filing in May 2020.
On Sept. 9, The New York Times reported that the Plano, Texas-based department store had agreed to sell the retail end of its business to Simon Property Group and Brookfield Property Partners, which primarily operate malls and outlet malls. The two companies would pay JCPenney $300 million for the remainder of its retail operations, as well as taking on the company’s $500 million in debt.
However, according to The Wall Street Journal, it’s as of yet unclear how the company will emerge from the bankruptcy process now that a group of JCPenney’s lenders, led by Aurelius Capital Management, are challenging the division of proceeds from the company’s sale, alleging that it favors some lenders over others.
JCPenney joins a long list of stores making last-ditch efforts to find profits and restructure amid the pandemic, so read on to discover if a store near you may be shutting its doors in the near future. And for some good news on the retail front, This Popular Discount Chain Is Launching a New Shopping Experience.
Video store chain Family Video, which opened its first location in Springfield, Illinois in 1978, recently announced plans to close 200 of its stores throughout the Midwest and South. “We’ve enjoyed serving so many communities over the years, but recent events have caused us to make some tough business decision[s],” the company said in a statement. And for more store closure news, This Beloved 200-Year-Old Shoe Company Could Be Disappearing.
Cineworld Group, which owns Regal Cinemas, announced that all of its 536 Regal Cinemas in the U.S. and its 127 Regal and Picturehouse Cinemas in the U.K. would be closing as soon as Oct. 8. “We had to change the direction, close the cinemas and wait for a situation where the studios will be able to present a solid release schedule,” Cineworld CEO Mooky Greidinger told Deadline.
Home goods store Sur La Table, which once operated 121 stores, filed for Chapter 11 bankruptcy protection in July. Just two months later, the store announced that it would be shuttering 56 of its stores, explaining in a statement that the decision was “a result of the financial impact of the COVID-19 crisis.” And for more shopping news delivered to your inbox, sign up for our daily newsletter.
250 H&M stores will shutter over the next year, the company announced in early October. H&M, which operates 5,000 stores globally, has yet to announce which stores will be closing, but admitted that the decision was related to the COVID-related retail slowdown. “More and more customers started shopping online during the pandemic,” the company explained in a statement. And in other shopping news, Nordstrom Just Became the First Retailer to Ban These Products.
Beloved home goods giant Bed Bath & Beyond announced in September that it would be closing 200 stores over the next two years in the wake of the coronavirus pandemic. “The impact of the COVID-19 situation was felt across our business during our fiscal first quarter, including loss of sales due to temporary store closures and margin pressure from the substantial channel shift to digital,” Bed Bath & Beyond president and CEO Mark Tritton said in a statement.