SAN FRANCISCO & PLANO, Texas--(BUSINESS WIRE)--April 11,
2006--Sephora U.S.A., Inc. ("Sephora"), the beauty authority, and J.
C. Penney Company, Inc. (NYSE:JCP), one of the largest department
store retailers in the United States, today announced a joint
initiative under which Sephora will open "store-within-stores" and be
the exclusive beauty offering in JCPenney stores, beginning as early
as fall 2006.
Featuring the most innovative approach in the beauty retail
industry, the Sephora in JCPenney stores will feature top brands from
makeup, skincare, fragrance, and accessory products carried in
Sephora's 120 stores across the U.S.
Each JCPenney Sephora will be in a prominent location in the
center core of the store. It will have the signature Sephora look,
including open-sell gondolas and wall linears, allowing customers easy
access to products, and be staffed with a professional team of product
consultants trained under the "Science of Sephora" education program.
In addition, the initiative will bring together two Internet
powerhouses. Sephora is the largest online retailer of prestige beauty
products. Sephora will exclusively service the JCP consumer's online
beauty needs through a link to www.sephora.com from www.jcp.com, which
recently surpassed $1 billion in annual revenues.
"We see this initiative with JCPenney as a way to dramatically
increase our retail presence, while we continue our core strategy of
aggressively building free-standing stores across the country," said
David Suliteanu, president and chief executive officer of Sephora
"JCPenney's focus on providing relevant merchandise to its broad
customer base is consistent with our objectives. This includes
America's youngest women, a market in which JCPenney is a significant
and rapidly growing factor.
"We believe that JCPenney will continue to grow in size and
strength for many years to come. We are excited about being its
partner in the key area of beauty."
Myron E. (Mike) Ullman, III, JCPenney chairman and chief executive
officer, said, "Our initiative with Sephora is a clear reflection of
the transformation underway at JCPenney as we seek to build an
emotional connection with our current customers and bring new
customers into our stores and onto www.jcp.com. Our customer has been
telling us that she wants a beauty and cosmetics selection that is
new, exciting, and within her reach. There is simply no better partner
to allow us to achieve that than Sephora, the most revolutionary,
innovative retailer in the beauty industry.
"We welcome Sephora to JCPenney, and strongly believe that its
addition will give our current and new customers another outstanding
reason to shop with us."
J. C. Penney Corporation, Inc., the wholly owned operating
subsidiary of J. C. Penney Company, Inc., is one of America's largest
department store, catalog, and e-commerce retailers, employing over
150,000 associates. As of Jan. 28, 2006, J. C. Penney Corporation,
Inc. operated 1,019 JCPenney department stores throughout the United
States and Puerto Rico. JCPenney is the nation's largest catalog
merchant of general merchandise, and jcp.com is one of the largest
apparel and home furnishings sites on the Internet.
Sephora, the beauty authority, revolutionized the global beauty
industry with its unique retail concept rooted in a powerful
combination of unparalleled brand and product assortment, distinctive
store design and the beauty expertise of its sales consultants.
Sephora offers clients a choice of more than 150 beauty brands across
a broad range of product categories including makeup, skincare,
fragrance, bath & body, hair care, smile care, and accessories, as
well as the company's own private label. Sephora was founded in France
in 1969 and acquired by Paris-based LVMH Moet Hennessy Louis Vuitton,
the world's leading luxury products group, in 1997. Sephora Americas
operates more than 125 stores in the United States and Canada, and the
world's top prestige beauty website, Sephora.com. Sephora Europe has
more than 400 stores within 11 countries and has recently expanded
This release may contain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements, which reflect JCPenney's current views of
future events and financial performance, involve known and unknown
risks and uncertainties that may cause JCPenney's actual results to be
materially different from planned or expected results. Those risks and
uncertainties include, but are not limited to, competition, consumer
demand, changes in credit card payment terms, seasonality, economic
conditions, including the price and availability of oil and natural
gas, changes in management, retail industry consolidations, acts of
terrorism or war, and government activity. Please refer to JCPenney's
most recent Form 10-K and subsequent filings for a further discussion
of risks and uncertainties. Investors should take such risks into
account when making investment decisions. JCPenney does not undertake
to update these forward-looking statements as of any future date. In
addition, non-GAAP terms referenced are defined and presented in
JCPenney's 2005 annual report on Form 10-K.
CONTACT: J. C. Penney:
Darcie Brossart, 972-431-3400
Bob Johnson, 972-431-2217
Ed Merritt, 972-431-8167
Allison Slater, 212-931-1302
Kekst and Company
Blake Kohn, 212-521-4877
SOURCE: J. C. Penney Company, Inc.