J.C. Penney not dead yet--CNN# Stock
f*9
1 楼
Shares of J.C. Penney (JCP, Fortune 500) fell nearly 5% to end at $7.01 a
share. Earlier, the stock dipped below $7, a level not seen since 1980.
The rout was sparked by a market rumor that a Canadian financing company was
denying J.C. Penney credit. It was the second time this week that J.C.
Penney's stock was hit by an unsubstantiated rumor. On Tuesday, the stock
plunged on talk the company was consulting with a bankruptcy firm.
J.C. Penney shares are down more than 60% so far this year due to concerns
about sliding sales and mounting losses at the once mighty retail chain. But
the company suggested that the recent spate of rumors are a ploy by short
sellers to drive the share price lower in order to make a quick profit.
In a statement issued Friday, J.C. Penney pushed back against what it called
"unprecedented attacks."
"These rumors are unequivocally false and constitute nothing more than
attempted market manipulation by certain types of investors for their own
personal gain," said J.C. Penney spokesman Joey Thomas.
The retailer added it has made "meaningful improvements" in its turnaround
plan and expects to end the year with more than $2 billion in excess
liquidity.
J.C. Penney recently raised $785 million in a secondary offering of 84
million shares. It also disclosed in a regulatory filing this week that it
had reached an agreement with lenders to lengthen the maturity on an
existing credit facility.
share. Earlier, the stock dipped below $7, a level not seen since 1980.
The rout was sparked by a market rumor that a Canadian financing company was
denying J.C. Penney credit. It was the second time this week that J.C.
Penney's stock was hit by an unsubstantiated rumor. On Tuesday, the stock
plunged on talk the company was consulting with a bankruptcy firm.
J.C. Penney shares are down more than 60% so far this year due to concerns
about sliding sales and mounting losses at the once mighty retail chain. But
the company suggested that the recent spate of rumors are a ploy by short
sellers to drive the share price lower in order to make a quick profit.
In a statement issued Friday, J.C. Penney pushed back against what it called
"unprecedented attacks."
"These rumors are unequivocally false and constitute nothing more than
attempted market manipulation by certain types of investors for their own
personal gain," said J.C. Penney spokesman Joey Thomas.
The retailer added it has made "meaningful improvements" in its turnaround
plan and expects to end the year with more than $2 billion in excess
liquidity.
J.C. Penney recently raised $785 million in a secondary offering of 84
million shares. It also disclosed in a regulatory filing this week that it
had reached an agreement with lenders to lengthen the maturity on an
existing credit facility.