Mall anchors struggling in pandemic era

JCPenney on Friday filed for bankruptcy and announced it will “reduce our store footprint to better align our business with the current operating environment.”

A company spokesperson declined to say if the Penney’s in Clovis’ North Plains Mall would be among those impacted.

“We don’t have a list to share and will disclose specific store details and the timing in the coming weeks,” the spokesperson wrote in an email.

“Stores will close in phases throughout the Chapter 11 process — and the first phases of closures, including specific store details and timing, will be disclosed in coming weeks.”

Company officials told multiple news outlets that the coronavirus pandemic played a major role in Penney’s filing for bankruptcy.

The national retailer is not the only anchor in Clovis’ mall struggling because of COVID-19.

Stage Stores announced last week it has also filed for bankruptcy and is looking for a buyer for its 700-plus stores across 42 states.

A Dillard’s press release issued Thursday showed the company reported a net loss of $162 million for the 13 weeks ended May 2. That compared to a net income of $78.6 million for the first quarter of 2019.

“COVID-19 has impacted every aspect of our business,” Dillard’s Chief Executive Officer William T. Dillard II stated in the press release.

The Clovis Penney’s, Stage and Dillard’s stores have been closed since mid-March when New Mexico Gov. Michelle Lujan Grisham issued stay-at-home orders in efforts to contain COVID-19.

State officials last week relaxed some of the business closings. Malls are still not allowed to open, but stores in the mall with outside entrances are back in business, if they want to be.

Dillard’s manager Christopher Addison said he plans to reopen on Tuesday with limited hours, probably 11 a.m. to 7 p.m. or noon to 7 p.m.

Mall management said it had not heard when Penney’s might reopen.

Stage was open in Clovis on Saturday.

In its bankruptcy filing, Stage said it owes $500 million to $1 billion to more than 10,000 creditors, including Nike, Skechers, Ralph Lauren, Levi Strauss and Adidas. The company reported $1.58 billion in annual revenue in 2018.