Mid-turnaround, J.C. Penney boosts borrowing capacity

NEW YORK: J.C. Penney Co Inc has increased its borrowing capacity under a bank credit facility to US$1.85 billion and expanded the accordion feature of the facility to $400 million, giving the retailer more flexibility as it works on a turnaround.

"As we enter the second year of our transformation, today's announcement reflects the confidence of our banking group in our long-term strategy and further strengthens our liquidity position as we continue to execute our plan," J.C. Penny Chief Financial Officer Ken Hannah said in a statement on Tuesday.