Penney Profits Cut in Half

Plano, TX, Feb. 20, 2009— J.C. Penney Co. reported earnings of $211 million, or 95 cents per share, for the three months ended Jan. 31. That compares with $430 million, or $1.93 per share, a year earlier.

Sales dropped almost 10 percent to $5.76 billion from $6.39 billion. Same-store sales, or sales at stores open at least a year, fell 10.8 percent. Same-store sales are a key indicator because they measure growth at existing stores rather than newly opened ones.

Analysts  had expected the Plano, Texas -based company to earn 92 cents per share on revenue of $5.76 billion.