JCPenney will close 27 of its 860 stores this year, a result of continuously dropping profits.

>> Read more trending news

The closures will include three previously announced department stores, 15 more full-line department stores and nine home and furniture stores, the company said in a statement Thursday. Nearly all of the impacted stores are expected to close during the second quarter of 2019.

Comparable sales at JCPenney fell 4 percent in the fourth quarter of 2018, down a total 3.1 percent for the year. Net sales for the fourth quarter dropped 9.5 percent. The company's net loss of $255 million far exceeded its $75 million net income for the quarter. Net income was $242 million the same quarter of the previous year.

"In spite of our past financial performance, we have already taken meaningful steps to drive improvement in key businesses such as women's apparel, active apparel, special-sized apparel and fine jewelry," said Jill Soltau, CEO of JCPenney.

The stores set for closure require significant capital, don’t yield the profits of other stores or offer the company a way to make money on a real estate transaction, according to the statement. Employees impacted by closing stores will receive separation benefits including assistance in finding a new job and outplacement services.

About the Author

Keep Reading

President Donald Trump speaks ahead of the signing of the Laken Riley Act in the East Room of the White House in Washington, D.C., on January 29, 2025. (Nathan Posner for The Atlanta Journal-Constitution)

Credit: Nathan Posner for the Atlanta Journal-Constitution

Featured

U.S. Sen. Jon Ossoff, D-Ga., speaks during a town hall on Friday, April 25, 2025, in Atlanta at the Cobb County Civic Center. (Jason Allen/Atlanta Journal-Constitution)

Credit: Jason Allen/AJC