NEW YORK, Sept 13 Vornado Realty Trust
Chairman and Chief Executive Steven Roth resigned on Friday from
the board of department store chain J.C. Penney Co Inc,
the company said in a regulatory filing.
Vornado, which owns 6.1 percent of Penney shares, said at an
investor conference earlier this week that it planned to sell
all of its 13.4 million Penney shares "in the not too distant
Penney shares ended 0.6 percent lower at $13.82 on Friday.
Vornado, the owner of office buildings and retail properties
chiefly in New York and Washington, took a 9.9 percent stake in
Penney at the same time that activist investor Bill Ackman's
Pershing Square Capital Management bought a 16.5 percent stake
in 2010 to push for big changes at the company.
Among Ackman's hoped-for changes were a reinvention of the
retailer so that it would appeal more to younger shoppers.
Ackman and Roth each got a seat on the board in early 2011.
But the Penney transformation, engineered by Ron Johnson, a
chief executive hand-picked by Ackman, failed, and led to a 25
percent sales decline last year.
Vornado sold nearly half of its shares in Penney earlier
this year, while Ackman last month sold his entire stake.
Penney representatives did not immediately return a request
for comment on possible plans for the board to replace Roth.