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

NEW YORK Wed Jan 15, 2014 4:23pm EST

NEW YORK Jan 15 (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 $65 million per year, beginning in 2014. Penney expects estimated pretax charges of about $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.