J.C. Penney names new chief financial officer

AP News
Posted: May 03, 2012 5:17 PM
J.C. Penney names new chief financial officer

J. C. Penney Co. said Thursday that it hired a new chief financial officer as it tries to reshape its business. Ken Hannah will take over as CFO on Monday.

The company's former chief financial officer, Michael Dastugue, left in April just days after the company announced it planned to cut hundreds of jobs and transform every aspect of its business.

Hannah, 43, was most recently president of solar energy at MEMC Electronic Materials Inc. He has also worked at a number of other companies, including General Electric Co., The Boeing Co. and Home Depot Inc.

J.C. Penney is trying to redesign everything _ from its management team to store promotion strategy _ to boost sagging sales. The company's new CEO, Ron Johnson, is a former Apple Inc. executive, who investors hope will bring some Apple ingenuity to the struggling chain.

"I've followed the outstanding changes that have taken place at J.C. Penney thus far, and I'm excited to now be part of this remarkable revolution in retail," Hannah said in a statement.

The company has suffered in recent years because its core middle-income customers have been among those hardest hit by the nation's weak economy. It's also lagged behind rivals like Macy's Inc. in making its stores fun places to shop.

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J.C. Penney posted a loss of $152 million on revenue of $17.26 billion for its most recent fiscal year, compared with a profit of $389 million on revenue of $17.76 billion the year before.

J.C. Penney, based in Plano, Texas, operates 1,100 stores nationwide.

Its shares fell 20 cents to close at $35.07.