JCPenney Files for Chapter 11 as Part of Plan to Reduce Debt

The 118-year-old retail chain said it will explore other opportunities, including a third-party sale


Retail chain JCPenney filed for Chapter 11 bankruptcy in Texas on Friday evening, under which several billion dollars of debt will be removed from the balance sheet, the company said.

The bankruptcy is part of a restructuring agreement with lenders holding 70% of the company’s first-line debt, the company said.

It is just the latest in a series of retail bankruptcies in part due to the pandemic, following notable filings by apparel chain J.Crew Group and luxury retailer Neiman

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