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J.C. Penney will permanently close its Alliance Supply Chain facility in Haslet, Texas, impacting nearly 300 employees. The facility will shutter around Nov. 1, the retailer stated in a Worker Adjustment and Retraining Notification letter.
Layoffs will happen in two waves, with the first taking place between Aug. 1 and Aug. 14 and the second occurring between Nov. 1 and Nov. 14. A number of associates may be offered a job at other J.C Penney locations, per the note.
“JCPenney is always seeking ways to adapt and enhance our operations with the goal of providing a better experience for our customers,” the company said in a statement to Retail Dive regarding the closure. “After a thorough review of our organization, we’ve made the difficult decision to close our JCPenney Alliance Regional Logistics Center. While this decision was difficult, it was necessary to build a stronger, more competitive company. We appreciate the contributions of all affected associates, who had been previously notified of our decision, and are committed to supporting them with transition resources, including severance and benefits.”
J.C. Penney’s total net sales in 2024, not including credit cards, fell 8.6% to $6.3 billion. The department store reported a $177 million loss compared to a $30 million net income in the prior year. Consolidated adjusted EBITDA fell over 45% to $172 million.
Sparc Group, the operator of brands including Brooks Brothers and Eddie Bauer, formed a joint venture with J.C. Penney at the start of the year, dubbed Catalyst Brands. That operating company cut around 9% of its corporate roles earlier this spring.
Editor’s note: This story first appeared in the Retail Dive: Operations newsletter. You can sign up for it here.