NEW YORK, N.Y. – Shares of J.C. Penney Co. plunged a day after the department-store chain reported massive losses and a nearly 30 per cent drop in revenue in its fiscal fourth-quarter period.
The results, which were much worse than Wall Street expected, cap off a full year of steep losses and sales drops since CEO Ron Johnson launched a turnaround plan that included getting rid of most the 600 or so discounts the chain used to offer each year in in favour of everyday low prices.
Penney reported on Wednesday after the markets closed that it widened its quarterly loss to $552 million, or $2.51 per share. Revenue fell 24.8 per cent to $12.98 billion.
On Thursday, its shares fell 19 per cent, or $3.98, to $17.18. Shares have dropped 60 per cent since early last year.