Attached files
| file | filename |
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| 8-K - 8-K - Old COPPER Company, Inc. | d47521d8k.htm |
Exhibit 99.1
J. C. PENNEY COMPANY, INC.
(Debtor-in-Possession)
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
| Month Ended | Seven Months Ended | |||||||||||||||
| (In millions) | September 5, 2020 |
September 7, 2019 |
September 5, 2020 |
September 7, 2019 |
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| Total net sales |
$ | 668 | $ | 968 | $ | 3,140 | $ | 5,916 | ||||||||
| Credit income and other |
26 | 42 | 209 | 268 | ||||||||||||
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| Total revenues |
694 | 1,010 | 3,349 | 6,184 | ||||||||||||
| Costs and expenses/(income): |
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| Cost of goods sold (exclusive of depreciation and amortization shown separately below) |
459 | 678 | 2,191 | 3,893 | ||||||||||||
| Selling, general and administrative (SG&A) |
201 | 330 | 1,243 | 2,056 | ||||||||||||
| Depreciation and amortization |
77 | 48 | 373 | 332 | ||||||||||||
| Real estate and other, net |
(1 | ) | (1 | ) | (8 | ) | (3 | ) | ||||||||
| Restructuring and management transition |
2 | 5 | 224 | 32 | ||||||||||||
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| Total costs and expenses |
738 | 1,060 | 4,023 | 6,310 | ||||||||||||
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| Operating income/(loss) |
(44 | ) | (50 | ) | (674 | ) | (126 | ) | ||||||||
| Other components of net periodic pension cost/(income) |
(9 | ) | (5 | ) | 45 | (31 | ) | |||||||||
| (Gain) / loss on extinguishment of debt |
— | — | — | (1 | ) | |||||||||||
| Net interest expense |
38 | 27 | 180 | 174 | ||||||||||||
| Loss due to discontinuance of hedge accounting |
— | — | 77 | — | ||||||||||||
| Reorganization items, net |
38 | — | 146 | — | ||||||||||||
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| Income/(loss) before income taxes |
(111 | ) | (72 | ) | (1,122 | ) | (268 | ) | ||||||||
| Income tax expense/(benefit) |
1 | 1 | (66 | ) | 7 | |||||||||||
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| Net income/(loss) |
$ | (112 | ) | $ | (73 | ) | $ | (1,056 | ) | $ | (275 | ) | ||||
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Note: The financial statements presented are internal monthly financial statements within a fiscal quarter, do not include certain quarterly adjustments and other important explanatory notes, and have not been audited or reviewed by any independent public accounting firm. Quarterly financial statements are subject to internal controls over financial reporting performed only with respect to quarterly financial statements. Consequently, these monthly financial statements may be subject to future reconciliation or adjustments to conform to generally accepted accounting principles or reporting requirements of the SEC and may not be representative of our financial position or indicative of future operating results or cash flows.
J. C. PENNEY COMPANY, INC.
(Debtor-in-Possession)
CONSOLIDATED BALANCE SHEETS
(Unaudited)
| (In millions) | September 5, 2020 |
September 7, 2019 |
February 1, 2020 |
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| Assets |
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| Current assets: |
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| Cash in banks and in transit |
$ | 219 | $ | 144 | $ | 108 | ||||||
| Cash short-term investments |
663 | 8 | 278 | |||||||||
| Restricted cash |
529 | — | — | |||||||||
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| Cash, cash equivalents and restricted cash |
1,411 | 152 | 386 | |||||||||
| Merchandise inventory |
1,805 | 2,514 | 2,166 | |||||||||
| Prepaid expenses and other |
533 | 304 | 174 | |||||||||
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| Total current assets |
3,749 | 2,970 | 2,726 | |||||||||
| Property and equipment, net |
3,108 | 3,567 | 3,488 | |||||||||
| Operating lease assets |
786 | 920 | 998 | |||||||||
| Prepaid pension |
34 | 169 | 120 | |||||||||
| Other assets |
640 | 661 | 657 | |||||||||
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| Total assets |
$ | 8,317 | $ | 8,287 | $ | 7,989 | ||||||
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| Liabilities and stockholders’ equity |
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| Current liabilities: |
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| Merchandise accounts payable |
$ | 189 | $ | 1,033 | $ | 786 | ||||||
| Other accounts payable and accrued expenses |
829 | 924 | 931 | |||||||||
| Current operating lease liabilities |
— | 84 | 68 | |||||||||
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Debtor-in-possession financing |
900 | — | — | |||||||||
| Current portion of long-term debt, net |
1,256 | 197 | 147 | |||||||||
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| Total current liabilities |
3,174 | 2,238 | 1,932 | |||||||||
| Noncurrent operating lease liabilities |
— | 1,083 | 1,108 | |||||||||
| Long-term debt |
— | 3,591 | 3,574 | |||||||||
| Deferred taxes |
40 | 122 | 116 | |||||||||
| Other liabilities |
251 | 362 | 430 | |||||||||
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| Total liabilities not subject to compromise |
3,465 | 7,396 | 7,160 | |||||||||
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| Liabilities subject to compromise |
5,053 | — | — | |||||||||
| Stockholders’ (deficit) equity |
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| Common stock |
161 | 159 | 160 | |||||||||
| Additional paid-in capital |
4,721 | 4,721 | 4,723 | |||||||||
| Reinvested earnings/(accumulated deficit) |
(4,725 | ) | (3,675 | ) | (3,667 | ) | ||||||
| Accumulated other comprehensive income/(loss) |
(358 | ) | (314 | ) | (387 | ) | ||||||
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| Total stockholders’ (deficit) equity |
(201 | ) | 891 | 829 | ||||||||
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| Total liabilities and stockholders’ (deficit) equity |
$ | 8,317 | $ | 8,287 | $ | 7,989 | ||||||
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Note: The financial statements presented are internal monthly financial statements within a fiscal quarter, do not include certain quarterly adjustments and other important explanatory notes, and have not been audited or reviewed by any independent public accounting firm. Quarterly financial statements are subject to internal controls over financial reporting performed only with respect to quarterly financial statements. Consequently, these monthly financial statements may be subject to future reconciliation or adjustments to conform to generally accepted accounting principles or reporting requirements of the SEC and may not be representative of our financial position or indicative of future operating results or cash flows.
J. C. PENNEY COMPANY, INC.
(Debtor-in-Possession)
CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY
(Unaudited)
| (In millions) | Number of Common Shares |
Common Stock |
Additional Paid-in Capital |
Reinvested Earnings/(Accumulated Deficit) |
Accumulated Other Comprehensive Income/(Loss) |
Total Stockholders’ (Deficit)/ Equity |
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| February 1, 2020 |
320.5 | $ | 160 | $ | 4,723 | $ | (3,667 | ) | $ | (387 | ) | $ | 829 | |||||||||||
| Net income/(loss) |
— | — | — | (944 | ) | — | (944 | ) | ||||||||||||||||
| Discontinuance of hedge accounting |
— | — | — | — | 64 | 64 | ||||||||||||||||||
| Other comprehensive income/(loss) |
— | — | — | — | (35 | ) | (35 | ) | ||||||||||||||||
| Stock-based compensation and other |
1.9 | 1 | (2 | ) | (2 | ) | — | (3 | ) | |||||||||||||||
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| August 1, 2020 |
322.4 | 161 | 4,721 | (4,613 | ) | (358 | ) | (89 | ) | |||||||||||||||
| Net income/(loss) |
— | — | — | (112 | ) | — | (112 | ) | ||||||||||||||||
| Stock-based compensation and other |
0.3 | — | — | — | — | — | ||||||||||||||||||
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| September 5, 2020 |
322.7 | $ | 161 | $ | 4,721 | $ | (4,725 | ) | $ | (358 | ) | $ | (201 | ) | ||||||||||
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| (In millions) | Number of Common Shares |
Common Stock |
Additional Paid-in Capital |
Reinvested Earnings/(Accumulated Deficit) |
Accumulated Other Comprehensive Income/(Loss) |
Total Stockholders’ Equity |
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| February 2, 2019 |
316.1 | $ | 158 | $ | 4,713 | $ | (3,373 | ) | $ | (328 | ) | $ | 1,170 | |||||||||||
| ASC 842 (Leases) and ASU 2018-02 (Stranded Taxes) adoption |
— | — | — | (26 | ) | 53 | 27 | |||||||||||||||||
| Net income/(loss) |
— | — | — | (202 | ) | — | (202 | ) | ||||||||||||||||
| Other comprehensive income/(loss) |
— | — | — | — | (39 | ) | (39 | ) | ||||||||||||||||
| Stock-based compensation and other |
1.6 | 1 | 6 | — | — | 7 | ||||||||||||||||||
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| August 3, 2019 |
317.7 | 159 | 4,719 | (3,601 | ) | (314 | ) | 963 | ||||||||||||||||
| Net income/(loss) |
— | — | — | (73 | ) | — | (73 | ) | ||||||||||||||||
| Stock-based compensation and other |
0.1 | — | 2 | (1 | ) | — | 1 | |||||||||||||||||
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| September 7, 2019 |
317.8 | $ | 159 | $ | 4,721 | $ | (3,675 | ) | $ | (314 | ) | $ | 891 | |||||||||||
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Note: The financial statements presented are internal monthly financial statements within a fiscal quarter, do not include certain quarterly adjustments and other important explanatory notes, and have not been audited or reviewed by any independent public accounting firm. Quarterly financial statements are subject to internal controls over financial reporting performed only with respect to quarterly financial statements. Consequently, these monthly financial statements may be subject to future reconciliation or adjustments to conform to generally accepted accounting principles or reporting requirements of the SEC and may not be representative of our financial position or indicative of future operating results or cash flows.
J. C. PENNEY COMPANY, INC.
(Debtor-in-Possession)
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
| Month Ended | Seven Months Ended | |||||||||||||||
| (In millions) | September 5, 2020 |
September 7, 2019 |
September 5, 2020 |
September 7, 2019 |
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| Cash flows from operating activities: |
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| Net income/(loss) |
$ | (112 | ) | $ | (73 | ) | $ | (1,056 | ) | $ | (275 | ) | ||||
| Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: |
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| Restructuring and management transition |
— | 3 | 162 | 20 | ||||||||||||
| Reorganization items, net |
— | — | 17 | — | ||||||||||||
| Net (gain)/loss on sale of non-operating assets |
— | — | — | (1 | ) | |||||||||||
| Net (gain)/loss on sale of operating assets |
— | (1 | ) | — | 2 | |||||||||||
| Discontinuance of hedge accounting |
— | — | 77 | — | ||||||||||||
| (Gain)/loss on extinguishment of debt |
— | — | — | (1 | ) | |||||||||||
| Depreciation and amortization |
77 | 48 | 373 | 332 | ||||||||||||
| Benefit plans |
(7 | ) | (7 | ) | 56 | (36 | ) | |||||||||
| Stock-based compensation |
— | 2 | (2 | ) | 8 | |||||||||||
| Deferred taxes |
2 | — | (67 | ) | — | |||||||||||
| Change in cash from: |
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| Inventory |
86 | (43 | ) | 361 | (77 | ) | ||||||||||
| Prepaid expenses and other assets |
(71 | ) | (29 | ) | (357 | ) | (111 | ) | ||||||||
| Merchandise accounts payable |
(54 | ) | 155 | (101 | ) | 186 | ||||||||||
| Income taxes |
— | — | — | — | ||||||||||||
| Accrued expenses and other |
(41 | ) | (51 | ) | (28 | ) | (42 | ) | ||||||||
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| Net cash provided by/(used in) operating activities |
(120 | ) | 4 | (565 | ) | 5 | ||||||||||
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| Cash flows from investing activities: |
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| Capital expenditures |
(6 | ) | (29 | ) | (49 | ) | (175 | ) | ||||||||
| Proceeds from sale of non-operating assets |
— | — | — | 1 | ||||||||||||
| Proceeds from sale of operating assets |
2 | 2 | 3 | 14 | ||||||||||||
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| Net cash provided by/(used in) investing activities |
(4 | ) | (27 | ) | (46 | ) | (160 | ) | ||||||||
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| Cash flows from financing activities: |
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| Proceeds from debtor-in-possession financing |
— | — | 450 | — | ||||||||||||
| Proceeds from borrowings under the credit facility |
52 | 15 | 2,727 | 961 | ||||||||||||
| Payments of borrowings under the credit facility |
— | (15 | ) | (1,471 | ) | (961 | ) | |||||||||
| Payments of finance leases and note payable |
— | — | (1 | ) | (1 | ) | ||||||||||
| Payments of long-term debt |
— | — | (19 | ) | (26 | ) | ||||||||||
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Debtor-in-possession financing fees |
— | — | (50 | ) | — | |||||||||||
| Proceeds from stock issued under stock plans |
— | — | — | 1 | ||||||||||||
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| Net cash provided by/(used in) financing activities |
52 | — | 1,636 | (26 | ) | |||||||||||
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| Net increase/(decrease) in cash, cash equivalents and restricted cash |
(72 | ) | (23 | ) | 1,025 | (181 | ) | |||||||||
| Cash, cash equivalents and restricted cash at beginning of period |
1,483 | 175 | 386 | 333 | ||||||||||||
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| Cash, cash equivalents and restricted cash at end of period |
$ | 1,411 | $ | 152 | $ | 1,411 | $ | 152 | ||||||||
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Note: The financial statements presented are internal monthly financial statements within a fiscal quarter, do not include certain quarterly adjustments and other important explanatory notes, and have not been audited or reviewed by any independent public accounting firm. Quarterly financial statements are subject to internal controls over financial reporting performed only with respect to quarterly financial statements. Consequently, these monthly financial statements may be subject to future reconciliation or adjustments to conform to generally accepted accounting principles or reporting requirements of the SEC and may not be representative of our financial position or indicative of future operating results or cash flows.
