J.C. Penney is getting out of the gear enterprise, marking the first most important change by new CEO Jill Soltau since she joined the struggling division retailer chain late ultimate yr.
Penney’s former CEO, Marvin Ellison, who’s now chief govt at Lowe’s, launched once more appliances in 2016 after the retailer had spent better than three a very long time focusing completely on comfy gadgets like apparel.
Penney said in a weblog put up on Wednesday that it will not promote most important appliances in its outlets starting Feb. 28 “in order to better meet customer expectations, improve financial performance and drive profitable growth.”
The agency moreover said that furnishings is rapidly solely going to be on the market on-line and in select outlets in Puerto Rico.
It plans to make use of additional home in outlets, transferring forward, to offer consideration to its “legacy” courses like apparel and certain home furnishings like curtains and bedding, which it calls out as “higher margin opportunities.”
Penney shares have been ultimate down better than 2 % on the data, bringing the stock to spherical $1.30.
Penney said it will current additional particulars about its option to get out of the home gear enterprise when it research earnings on Feb. 28. That’s moreover when the retailer is supposed to provide particulars on additional retailer closures, which many analysts are already anticipating. Penney already expects to close three outlets this spring.