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Wednesday, September 25, 2013

Goldman Sachs recommends CDS for J.C. Penney debt

http://www.marketwatch.com/story/carnival-drops-facebook-rises-hot-stocks-2013-09-25?link=MW_home_latest_news

“In our view, another potential capital raise suggests that JCP is still struggling to win back its wayward consumer—and could signal that 3Q traffic & [same-store sales] trends have not improved much despite a return to traditional merchandise & heavy couponing,” he said.
J.C. Penney is talking to banks and institutional investors to secure more capital in the form of both debt and equity, according to Reuters last week.
The stock has been in a steady decline since Sept. 10 except for a brief rebound on Sept. 17. So far this year, the struggling retailer’s shares have shed about half of their value. 

Liquidity event coming to a theater near you... We have been on a JCP death watch for sometime now :)

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