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J.C. Penney cutting 360 positions

Department store operator J.C. Penney Co. Inc. said March 2 that it is has eliminated approximately 130 positions from its home office, while another 230 positions were cut in a restructuring of its store "support teams" in a move expected to save the company $20 million to $25 million a year.

J.C. Penney said the reorganization of its group, regional, district and store support teams allowed the "vast majority" of those employees affected to assume other jobs within the company, although the 230 positions were cut.

As part of its fiscal 2018 outlook, J.C. Penney said it expects adjusted EPS of 5 cents to 25 cents. The S&P Capital IQ consensus normalized EPS estimate for the company's fiscal 2018 is 23 cents. Comparable store sales are expected in a range of zero to 2% in fiscal 2018. Guidance was provided as part of J.C. Penney's earnings report for the fiscal fourth quarter 2017 and fiscal 2017 ended Feb. 3.

The company also announced a "strategic realignment" of its senior leadership March 2. The company appointed Therace Risch as chief information officer and chief digital officer, noting that she will be in charge of omnichannel retail. Mike Amend, currently executive vice president of omnichannel, will leave the company.

J.C. Penney named Joe McFarland executive vice president and chief customer officer, and he will be in charge of merchandising and all J.C. Penney store operations. Jodie Johnson was promoted to merchandising head of the company's women, beauty and family footwear units, while James Starke was promoted to merchandising head of its men's, children's, home and jewelry units. Both Johnson and Starke will report to McFarland.