Tomahawk, WI 12/02/2013 (BasicsMedia) – J.C. Penney Company, Inc. (NYSE:JCP) is running low on cash. The company has performed poorly in recent years and this year has seen spirited efforts aimed at getting it back to former glory days. The management change which ousted Ron Johnson as CEO replaced him with Mike Ullman served to win investor confidence in the company at the time when things were spinning out of control.

The missteps in J.C. Penney Company, Inc. (NYSE:JCP) are so many to numerate. But what is known is that attempts to please young high spenders by the former management only succeeded in driving away customers from the store. Furthermore, the stores remodeling which was to go along way into making JCP an affluent shoppers’ hall consumed a lot of money for which nothing substantial was achieved.

The result was a company standing on quick sand and needing immediate redemption from self-inflicted woes. Even efforts to reduce the store count has been slow at helping J.C. Penney Company, Inc. (NYSE:JCP) climb from its financial woes. However, it is important pointing out that the new management is aggressively cutting expenses to save the company’s finances.

Start of holiday disappointing

Several research firms had predicted that Thanksgiving and Black Friday were going to boost sales significantly for retailers. This was expected to help struggling stores like J.C. Penney Company, Inc. (NYSE:JCP) to boost their turnaround momentum.

In fact, the National Retail Federation has forecast that Nov. – Dec sales would peak up by significant margin above last year’s activity. The sign to this was to be seen in how shoppers work their wallets during Thanksgiving through Black Friday and the weekend. However, if emerging figures from retailers is anything to go by, its clear things failed to pick as expected.

This now means that J.C. Penney Company, Inc. (NYSE:JCP) and other struggling retailers have missed an opportunity to rebound, but also risk sinking low in poor performance going forward. A lot of hope at JCP had been put in good performance during the holiday season and this was one line popularized by the company’s CEO Ullman.

Rebound chances slim

Apparently, with a lower than expected customer spending in retail stores during the official start of the holidays, it seems JCP is now considering plan B or even C in its rebound strategy just in case December doesn’t serve it well. There are also chances that customers having been measured in the spending during Thanksgiving and Black Friday, they could pour out in the stores for Christmas.

If this happens, it would be great for J.C. Penney Company, Inc. (NYSE:JCP), but if it fails, it would be disastrous for the struggling century retail store.

Things are not any batter for seemingly healthy competitors like Wal-Mart Stores, Inc. (NYSE:WMT) which are also seeking to generate high revenues to absorb increasing operating expenses.

The future is till there

All is not lost for J.C. Penney Company, Inc. (NYSE:JCP) even in the face of seemingly disappointing Thanksgiving and Black Friday. That the company’s expenses are getting reduced in good pace and stores showing signs of improved sales, there is room to plug the weak financial situation and return to the levels of profitability.

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