In 2022, J.C. Penney began to keep its financial details to itself. Two of its landlords, Simon Property Group and Brookfield, bought it out of bankruptcy for a cash payment of less than $700 million plus new term debt. Since then, the department store’s financial health has been mostly a mystery. Last year in May, J.C. Penney said it was on pace to reach $9 billion in sales for the year. 

Simon CEO David Simon has resisted providing much information during the REIT’s conference calls with analysts, except to say, as he did in February, that Penney is enjoying “unbelievably profitable EBITDA,” and that, while sales weren’t as strong as in 2021, its new owners are pleased with its positioning.

In that call, Simon also hinted that there are public filings available “out there” with more details. That was hard to resist, and Senior Reporter Daphne Howland set off to find them. The team talks about what she uncovered, and what it indicates for the reality of J.C. Penney and its future.

Resource links:

• J.C. Penney hasn’t had to release its finances since 2020. Here’s how the retailer is doing.
• Simon Property Group sells off Eddie Bauer interest as its retail investments tumble
• J.C. Penney is reinventing itself. Again.
• J.C. Penney drags down owner Simon Property Group in Q3