Jc Penney

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10 Mind-Blowing Facts About JCPenney's Epic Decline
Ashley Lutz | Apr. 22, 2013, 4:44 PM | 66,567 | 10
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JCPenney is a retailer on the brink of collapse. 
"This is not a turn-around situation," George Bradt, managing director of executive consulting firm PrimeGenesis told us. "This is a 'turn off the lights' situation."  JCPenney's decline was accelerated when former CEO Ron Johnson took over in 2012. During his disastrous, 16-month reign, Johnson burned through the company's cash and drove away many of its loyal customers.  Even though Johnson was replaced by his predecessor Mike Ullman last week, many analysts feel the company's disturbing financials make it beyond repair.  We've compiled some facts to show the retailer's epic decline. 

19,000 employees have lost their jobs since Johnson took over 16 months ago.

Scott Olsen / Getty Images
Investing in customer service over lower prices is what originally made JCPenney great, consumer expert and bestselling author Grant Cardone told us.  Now JCPenney is woefully understaffed and can't assist customers as well, he said.   

JCPenney lost $985 million in 2012.

Megan Durisin/Business Insider
That compares with a $152 million in 2011, Brian Sozzi, chief equities strategist at Belus Capital, told us.  Johnson's heavy investing toward his turnaround strategy and declining sales led to the loss.  JCPenney announced a staggering 32 percent sales decline in the fourth quarter.

Megan Durisin/Business Insider
JCPenney lost customers because of Johnson's strategy, which involved getting rid of the sales and promotions that long-time customers loved. The company reported that staggering decrease in an earnings release. Once customers are gone, it's difficult to get them back in...
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