J.C. Penney Reopens Over 150 Stores, Looks to Make Real Estate Trust
While apparel retailer J.C. Penney (NYSE: JCP) may have bought itself a little time with its Chapter 11 bankruptcy filing, a countdown is still looming on its planned exit from Chapter 11 in November. As it works to avoid liquidation, the company is reopening more than 150 of its outlets this week, along with moving forward with its plans to put some of its properties into a real-estate investment trust, or REIT.
A strict timetable governs J.C. Penney's efforts to dodge liquidation. It must file a business plan detailing its restructuring and bankruptcy exit in June, then use the plan to successfully obtain $225 million in debtor-in-financing loans by July 14. If it fails to obtain the financing, liquidation proceedings will begin around August 15.
Image source: J.C. Penney.
Source Fool.com
