J.C. Penney stated in a bankruptcy court document that it must emerge from Chapter 11 quickly in preparation for the 2020 holiday season, shortly after announcing that it had received approvals from the U.S. Bankruptcy Court for the Southern District of Texas regarding First Day motions related to the company’s voluntary Chapter 11 petitions, including approval for it to access and use its approximately $500 million in cash collateral.
According to store traffic tracker Placer.ai, the COVID-19 pandemic, with its various restrictions to retail operations, demonstrates the strength of the Walmart and Target business models.
J.C. Penney has filed for Chapter 11 bankruptcy protection and entered into a restructuring support agreement with lenders holding approximately 70% of its first lien debt in an effort to reduce the company’s outstanding debt and strengthen its financial position.
Williams-Sonoma said it will extend its temporary closure of U.S. and Canada stores through May 31, 2020 in locations where retail restrictions have not been lifted. The company will continue to reopen stores on a market-by-market basis consistent with local and state government guidelines.
As many anticipate a chapter 11 bankruptcy announcement, J.C. Penney made an approximately $17 million interest payment that was due and payable on May 7 regarding the company’s senior secured term loan credit facility.
Based on an extensive industry survey, International Market Centers has updated its summer 2020 market schedule. IMC is postponing markets until August, with its next Atlanta Market running August 13 to 18 and Las Vegas Market running August 30 to September 3.
Lamps Plus has opened three of its Texas stores, one each located in Arlington, Plano and Austin, as it gets its store operation running again. The company opened the Texas stores during the week beginning May 3 and is opening Nevada and Arizona stores this week, with all to be in operation by Friday, May 15.