JCPenney Breaks Ground on Future LEED Store in Fairview

Efficient Store Also Among First Approved as "Designed to Earn the ENERGY STAR"


J. C. Penney Company, Inc. (NYSE:JCP) broke ground Oct. 23 in Fairview, Texas, on its first store registered and expected to obtain LEED certification. The LEED (Leadership in Energy and Environmental Design) Green Building Rating System(TM), administered by the U.S. Green Building Council (USGBC), is the nationally accepted benchmark for the design, construction and operation of high-performance green buildings. The 115,000-square-foot JCPenney store will open in August 2009 as an anchor of Fairview's new 1 million-square-foot lifestyle center, The Village at Fairview.

Because LEED criteria are performance-based, LEED documentation will be submitted to the USGBC for formal approval once the store is complete. To receive certification, a building must satisfy requirements and earn points in six categories: Sustainable Sites, Water Efficiency, Energy & Atmosphere, Materials & Resources, Indoor Environmental Quality and Innovation in Design.

"JCPenney is committed to pursuing environmental initiatives in ways that make sense for the Company," said Michael Dastugue, senior vice president and director of property development. "Because LEED is the recognized benchmark for green building, this store will provide further insights to features and best practices that can help the environment and potentially deliver long-term energy and cost savings. All of our efforts to reduce environmental impact reflect our 'Every Day Matters' philosophy and commitment to the communities in which we operate."

Lean and Green

Based on its design, the Fairview JCPenney store is expected to use 41 percent less energy than the average similar building. Beyond JCPenney's standard new-store design features such as a reflective white roof and energy-efficient lighting, additional features are expected to contribute to reducing the store's environmental impact, including:

    --  Landscape materials selected to reduce irrigation needs by 50
        percent compared with similar stores.

    --  Plumbing fixtures that reduce building water consumption by 20

    --  Segmenting and recycling of construction waste. Contractors
        will divert 50 percent or more of the construction debris and
        waste from local landfills.

    --  Use of recycled content in store construction, such as cotton
        batt insulation made from recycled denim.

    --  Use of regional materials harvested, manufactured and
        delivered from within 500 miles of the store site to reduce
        transportation emissions.

    --  A heating, ventilation and air conditioning (HVAC) system that
        is 21 percent more energy efficient than those for comparable
        new buildings.

    --  An Energy Management System that allows remote monitoring and
        control of HVAC and lighting systems.

    Designed to Earn the ENERGY STAR

Additionally, and consistent with JCPenney's focus on superior energy management practices, the Fairview store has been certified by the U.S. Environmental Protection Agency as "Designed to Earn the ENERGY STAR," making JCPenney the first national retailer to receive this designation for implementation of energy conservation from the store design stage. To be eligible, building construction documents must be 95 percent complete and receive an energy-efficiency rating of 75 or higher on a 100-point scale. The Village at Fairview store received a rating of 84.

The Fairview store is one of two planned JCPenney stores to be certified under the Designed to Earn the ENERGY STAR program. Based on its design, the store's annual energy performance is expected to be in the top 25 percent of comparable retail buildings.

Strength in Energy

As a member of the U.S. Department of Energy's Retailer Energy Alliance and the government's ENERGY STAR program, and two-time ENERGY STAR Partner of the Year recipient, JCPenney is committed to building on its legacy of environmental stewardship and social responsibility. Over the past six years, JCPenney has invested more than $100 million to install energy management technology, lighting retrofits and high-efficiency HVAC systems in its stores. While working to reduce overall energy consumption, JCPenney is also exploring renewable energy projects and recently announced it will host rooftop solar power installations at 10 stores and a wind power project at one of its distribution centers.

In addition, JCPenney is one of 21 companies selected to participate in the Department of Energy's Net-Zero Energy Commercial Building Initiative. JCPenney and other selected companies will team with two DOE National Laboratories on projects to achieve cost-effective energy savings of 50 percent above current standards for new commercial building designs and 30 percent for retrofits to existing buildings.

About JCPenney

JCPenney is one of America's leading retailers, operating 1,093 department stores throughout the United States and Puerto Rico, as well as one of the largest apparel and home furnishing sites on the Internet,, and the nation's largest general merchandise catalog business. Through these integrated channels, JCPenney offers a wide array of national, private and exclusive brands which reflect the Company's commitment to providing customers with style and quality at a smart price. Traded as "JCP" on the New York Stock Exchange, the Company posted revenue of $19.9 billion in 2007 and is executing its strategic plan to be the growth leader in the retail industry. Key to this strategy is JCPenney's "Every Day Matters" brand positioning, intended to generate deeper, more emotionally driven relationships with customers by fully engaging the Company's 155,000 Associates to offer encouragement, provide ideas and inspire customers every time they shop with JCPenney.

Source: J. C. Penney Company, Inc.