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J.C. Penney to shed 33 stores, cut 2000 jobs as part of turnaround

Published on Jan 16, 2014 6:00 AM
 
Customers ride the escalator at a J.C. Penney store in New York in this photo taken on Aug 14, 2013. J.C. Penney Co Inc said on Jan 15, 2014, that it will close 33 underperforming stores and cut 2,000 jobs as part of its turnaround. -- FILE PHOTO: REUTERS

NEW YORK (REUTERS) - J.C. Penney Co Inc said on Wednesday it will close 33 underperforming stores and cut 2,000 jobs as part of its turnaround.

The closings will generate cost savings of US$65 million (S$82 million) per year, beginning in 2014. Penney expects estimated pretax charges of about US$26 million in the current quarter.

The struggling department store chain operates about 1,100 stores in the United States and had 116,000 employees as of Feb 2, 2013.