Exhibit 99.2 JCPenney Business Plan May 2020 Confidential – Subject to Non‐Disclosure AgreementExhibit 99.2 JCPenney Business Plan May 2020 Confidential – Subject to Non‐Disclosure Agreement


Disclaimer This presentation and all information contained therein (this “Presentation”) has been prepared at the direction of J. C. Penney Company, Inc. (“J. C. Penney” or the “Company”) and is being delivered for informational purposes only  on behalf of the Company to a limited number of parties by the following financial and legal advisors: Lazard Frères & Co.  LLC, Kirkland & Ellis LLP, and AlixPartners LLP (collectively, the “Advisors”).  This Presentation is being provided  as a preliminary draft and is subject to material change, does not purport to be all‐inclusive or to necessarily contain all  information that a prospective counterparty may desire in investigating the Company, and is subject to Federal  Rule of Evidence 408 and all similar rules under applicable law.  This Presentation has not been independently verified by the Advisors. None of the Company, the Advisors, their respective affiliates or their  respective employees, directors, officers, contractors, advisors, members, successors,  representatives or agents make any express or implied representation or warranty as to the accuracy or completeness of this Presentation, and  no such party shall have any liability for any material misstatements, omissions or other  errors in this Presentation or any other written or oral communications transmitted to the recipient in connection therewith. The recipient shall not rely on any information set forth in this Presentation, and should conduct its own  independent investigation of the Company and any proposed transaction. This Presentation is provided as of the date hereof and is subject to change.  Neither the Company nor the Advisors is under any obligation to update, amend or supplement this Presentation.  The Company reserves the right, at any  time, to negotiate with any one or more interested parties or to enter into any definitive agreement with respect to, or to determine  not to proceed with, any transaction, without prior notice to any other interested parties.  The  Company reserves the unconditional right to terminate, at any time, and for any or no reason, further participation by any party and to modify any other procedures.  Except as otherwise expressly agreed, the Company shall have no  legal commitment or obligation to any recipient of this Presentation unless and until a definitive agreement has been fully executed.  The existence and contents of this Presentation are being provided to you pursuant to the Confidentiality Agreement previously entered into by  you and the Company (the “Confidentiality Agreement”) and recipients are therefore  bound by the Confidentiality Agreement in respect of all information contained in this presentation.   This Presentation shall not constitute an offer, nor a solicitation of an offer, of the sale or purchase of securities, nor shall any  securities of the Company be offered or sold, in any jurisdiction in which such an offer, solicitation or sale  would be unlawful.  Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of the  transactions contemplated hereby or determined if this Presentation is truthful or  complete.  Recipients of this Presentation should not construe the contents hereof to constitute legal, tax, regulatory, financial, accounting or  other advice.  Any recipient of this Presentation should seek advice from its own  independent tax advisor, legal counsel and/or other advisor with respect to such matters. In addition, this Presentation includes certain estimates, targets, projections and forward‐looking statements provided by the Company with respect  to the anticipated future performance of the Company.  Such estimates, targets,  projections and forward‐looking statements reflect various assumptions and subjective judgments of management concerning the future performance of the  Company, and are subject to significant business, economic and  competitive risks, uncertainties and contingencies, many of which are beyond the control of the Company.  Accordingly, these statements are  inherently speculative, and there can be no assurances or guarantees that such estimates,  targets, projections or forward‐looking statements will be realized.  Actual results may vary from anticipated results and such variations may  be material. Past performance is not a guarantee of future results.  No representations or  warranties are made as to the accuracy or reasonableness of such assumptions or the estimates, targets, projections or forward‐looking  statements based thereon.  You are cautioned not to place undue reliance upon any of these  projections or statements, which speak only as of the date made. Each recipient of this Presentation should make an independent assessment of the merits of pursuing a transaction and should consult its  own professional advisors.  Except as otherwise expressly indicated herein, this Presentation speaks as of the date hereof and as of the date at which such  information contained therein is expressed to be stated, as applicable.  The delivery of this Presentation  does not create any implication that there has been no change in the business and affairs of the Company since such date. Neither  the Company nor the Advisors nor any of their respective directors, officers, employees, affiliates or  representatives undertakes any obligation to update this Presentation or any of the information contained herein or to correct any inaccuracies  or omissions that may become apparent. The Company reserves the right to conduct the process for the transaction as it determines in its sole discretion (including, without limitation, terminating further participation in the process by any party, rejecting any proposals or  indications of interest, negotiating with any one or more prospective buyers and entering into any agreement with respect to any transaction without prior notice to you or any other person) and any procedures relating to such  transaction may be changed at any time without prior notice to you or any other person. The recipient acknowledges that no representation  or warranty, express or implied, has been made with respect to such process or proposed  structuring.  None of the Company, the Advisors or any of their respective affiliates has any legal, fiduciary or other duty to the  recipient with respect to the manner in which the proposed process is conducted. No legal relationship shall be created between the Company or the Advisors and any recipient of this Presentation by virtue of the  issuance or delivery of this Presentation.  The recipient of this Presentation may not construe the  contents of this Presentation as legal or investment advice. Each recipient should consult its own counsel, accountants, and business advisors  as to legal, tax, and related matters concerning future involvement with the Company. 2 Confidential – Subject to Non‐Disclosure Agreement     |Disclaimer This presentation and all information contained therein (this “Presentation”) has been prepared at the direction of J. C. Penney Company, Inc. (“J. C. Penney” or the “Company”) and is being delivered for informational purposes only on behalf of the Company to a limited number of parties by the following financial and legal advisors: Lazard Frères & Co. LLC, Kirkland & Ellis LLP, and AlixPartners LLP (collectively, the “Advisors”). This Presentation is being provided as a preliminary draft and is subject to material change, does not purport to be all‐inclusive or to necessarily contain all information that a prospective counterparty may desire in investigating the Company, and is subject to Federal Rule of Evidence 408 and all similar rules under applicable law. This Presentation has not been independently verified by the Advisors. None of the Company, the Advisors, their respective affiliates or their respective employees, directors, officers, contractors, advisors, members, successors, representatives or agents make any express or implied representation or warranty as to the accuracy or completeness of this Presentation, and no such party shall have any liability for any material misstatements, omissions or other errors in this Presentation or any other written or oral communications transmitted to the recipient in connection therewith. The recipient shall not rely on any information set forth in this Presentation, and should conduct its own independent investigation of the Company and any proposed transaction. This Presentation is provided as of the date hereof and is subject to change. Neither the Company nor the Advisors is under any obligation to update, amend or supplement this Presentation. The Company reserves the right, at any time, to negotiate with any one or more interested parties or to enter into any definitive agreement with respect to, or to determine not to proceed with, any transaction, without prior notice to any other interested parties. The Company reserves the unconditional right to terminate, at any time, and for any or no reason, further participation by any party and to modify any other procedures. Except as otherwise expressly agreed, the Company shall have no legal commitment or obligation to any recipient of this Presentation unless and until a definitive agreement has been fully executed. The existence and contents of this Presentation are being provided to you pursuant to the Confidentiality Agreement previously entered into by you and the Company (the “Confidentiality Agreement”) and recipients are therefore bound by the Confidentiality Agreement in respect of all information contained in this presentation. This Presentation shall not constitute an offer, nor a solicitation of an offer, of the sale or purchase of securities, nor shall any securities of the Company be offered or sold, in any jurisdiction in which such an offer, solicitation or sale would be unlawful. Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of the transactions contemplated hereby or determined if this Presentation is truthful or complete. Recipients of this Presentation should not construe the contents hereof to constitute legal, tax, regulatory, financial, accounting or other advice. Any recipient of this Presentation should seek advice from its own independent tax advisor, legal counsel and/or other advisor with respect to such matters. In addition, this Presentation includes certain estimates, targets, projections and forward‐looking statements provided by the Company with respect to the anticipated future performance of the Company. Such estimates, targets, projections and forward‐looking statements reflect various assumptions and subjective judgments of management concerning the future performance of the Company, and are subject to significant business, economic and competitive risks, uncertainties and contingencies, many of which are beyond the control of the Company. Accordingly, these statements are inherently speculative, and there can be no assurances or guarantees that such estimates, targets, projections or forward‐looking statements will be realized. Actual results may vary from anticipated results and such variations may be material. Past performance is not a guarantee of future results. No representations or warranties are made as to the accuracy or reasonableness of such assumptions or the estimates, targets, projections or forward‐looking statements based thereon. You are cautioned not to place undue reliance upon any of these projections or statements, which speak only as of the date made. Each recipient of this Presentation should make an independent assessment of the merits of pursuing a transaction and should consult its own professional advisors. Except as otherwise expressly indicated herein, this Presentation speaks as of the date hereof and as of the date at which such information contained therein is expressed to be stated, as applicable. The delivery of this Presentation does not create any implication that there has been no change in the business and affairs of the Company since such date. Neither the Company nor the Advisors nor any of their respective directors, officers, employees, affiliates or representatives undertakes any obligation to update this Presentation or any of the information contained herein or to correct any inaccuracies or omissions that may become apparent. The Company reserves the right to conduct the process for the transaction as it determines in its sole discretion (including, without limitation, terminating further participation in the process by any party, rejecting any proposals or indications of interest, negotiating with any one or more prospective buyers and entering into any agreement with respect to any transaction without prior notice to you or any other person) and any procedures relating to such transaction may be changed at any time without prior notice to you or any other person. The recipient acknowledges that no representation or warranty, express or implied, has been made with respect to such process or proposed structuring. None of the Company, the Advisors or any of their respective affiliates has any legal, fiduciary or other duty to the recipient with respect to the manner in which the proposed process is conducted. No legal relationship shall be created between the Company or the Advisors and any recipient of this Presentation by virtue of the issuance or delivery of this Presentation. The recipient of this Presentation may not construe the contents of this Presentation as legal or investment advice. Each recipient should consult its own counsel, accountants, and business advisors as to legal, tax, and related matters concerning future involvement with the Company. 2 Confidential – Subject to Non‐Disclosure Agreement |


Topics for today’s presentation What we’ll cover What we hope you take away Current state and recent transformation  We understand the root causes of our historical  momentum performance decline, implemented actions to address those  issues and are seeing early traction The COVID‐19 disruption and our expected  We have a detailed understanding of the short‐term  recovery financial impacts of COVID‐19, as well as the potential  consumer behavior shifts  Our Plan for Renewal We’ve made thoughtful strategic choices to guide our  transformation, and we will continue to evolve those choices  as the macro conditions change Historical and projected financial overview Our Plan for Renewal will drive a return to sustainable,  profitable growth and a financially sound business for the  long term 3 Confidential – Subject to Non‐Disclosure Agreement     |Topics for today’s presentation What we’ll cover What we hope you take away Current state and recent transformation We understand the root causes of our historical momentum performance decline, implemented actions to address those issues and are seeing early traction The COVID‐19 disruption and our expected We have a detailed understanding of the short‐term recovery financial impacts of COVID‐19, as well as the potential consumer behavior shifts Our Plan for Renewal We’ve made thoughtful strategic choices to guide our transformation, and we will continue to evolve those choices as the macro conditions change Historical and projected financial overview Our Plan for Renewal will drive a return to sustainable, profitable growth and a financially sound business for the long term 3 Confidential – Subject to Non‐Disclosure Agreement |


Current state and recent  transformation momentum 4 Confidential – Subject to Non‐Disclosure Agreement     |Current state and recent transformation momentum 4 Confidential – Subject to Non‐Disclosure Agreement |


JCPenney has 100+ years of heritage serving American  families and meaningful strengths to  build upon in this transformation journey Brand strength Loyal Customer base Omnichannel assets People & culture • ~85K associates, 80% women  • Omnichannel capabilities  • 200M+ transactions from  • Recognized and celebrated  and 56% ethnically diverse ~46M customers combined with a strong  American brand technology platform • Associates committed and  • ~32M Loyalty customers that  • $10.7B in FY19 net sales from  connected to achievements  • Expansive real estate  drive ~70% of net sales a mix of national & private  larger than themselves 1 portfolio across 48 states and  brands Puerto Rico • Strong values: Passion.  • 3 beloved $500M+ private  Confidence. Service. Courage. brands and a total of 10 that  represent $100M+ 1 In 2019, we derived $2,361 million in sales from top 5 private brands, $3,866 million from top 15 private brands and $4,399 million  from all private brands. In 2019, top 5 private brands represented 53.7% of all private brand sales; top 15 private brands represented  87.9%  of private brand sales. As of April 15, 2020, we had $672 million of supplier payables, approximately 50% of which were attributed to  our top 33 suppliers and approximately 20% of which were attributable to our top 5 suppliers. 5 Confidential – Subject to Non‐Disclosure Agreement     |JCPenney has 100+ years of heritage serving American families and meaningful strengths to build upon in this transformation journey Brand strength Loyal Customer base Omnichannel assets People & culture • ~85K associates, 80% women • Omnichannel capabilities • 200M+ transactions from • Recognized and celebrated and 56% ethnically diverse ~46M customers combined with a strong American brand technology platform • Associates committed and • ~32M Loyalty customers that • $10.7B in FY19 net sales from connected to achievements • Expansive real estate drive ~70% of net sales a mix of national & private larger than themselves 1 portfolio across 48 states and brands Puerto Rico • Strong values: Passion. • 3 beloved $500M+ private Confidence. Service. Courage. brands and a total of 10 that represent $100M+ 1 In 2019, we derived $2,361 million in sales from top 5 private brands, $3,866 million from top 15 private brands and $4,399 million from all private brands. In 2019, top 5 private brands represented 53.7% of all private brand sales; top 15 private brands represented 87.9% of private brand sales. As of April 15, 2020, we had $672 million of supplier payables, approximately 50% of which were attributed to our top 33 suppliers and approximately 20% of which were attributable to our top 5 suppliers. 5 Confidential – Subject to Non‐Disclosure Agreement |


However, our financial performance was challenged leading up  to the most recent CEO  transition and launch of our transformation 1  Net Sales CAGR as of Sep 2018 Total return to shareholders (TRS) index through Sep 2018, Percent January 2012 = 100, USD Five year Two year One year CEO transition JCP S&P 500 Industry index 7 8 8 350 0 ‐1 3 300 0 0 2 250 1 2 3 200 5 4 4 150 0 ‐2 ‐3 100 ‐2 ‐4 ‐4 50 ‐16 ‐19 ‐25 2012 13 14 15 16 17 18 19 In the period prior to the transformation launch, JCP sales had declined faster than most competitors and accelerated over  time while shareholder value creation lagged peers and the market Sour ce: S&P Capital IQ, annual reports 1 Sears and Nordstrom uses CAGR from 2017 6 Confidential – Subject to Non‐Disclosure Agreement     |However, our financial performance was challenged leading up to the most recent CEO transition and launch of our transformation 1 Net Sales CAGR as of Sep 2018 Total return to shareholders (TRS) index through Sep 2018, Percent January 2012 = 100, USD Five year Two year One year CEO transition JCP S&P 500 Industry index 7 8 8 350 0 ‐1 3 300 0 0 2 250 1 2 3 200 5 4 4 150 0 ‐2 ‐3 100 ‐2 ‐4 ‐4 50 ‐16 ‐19 ‐25 2012 13 14 15 16 17 18 19 In the period prior to the transformation launch, JCP sales had declined faster than most competitors and accelerated over time while shareholder value creation lagged peers and the market Sour ce: S&P Capital IQ, annual reports 1 Sears and Nordstrom uses CAGR from 2017 6 Confidential – Subject to Non‐Disclosure Agreement |


As we set out to turn this trajectory, we first  identified the root cause issues that had driven  performance decline Customer, margin & channel issues Category issues Ÿ Confusing and ineffective pricing and promotions Ÿ Shift of unit volume from traffic driving and  compressed gross margin, while consumer value  acquisition categories like women’s apparel to  perception lagged peers lower margin categories like big ticket alienated  core consumer  Ÿ Outdated traditional marketing strategy lacked 1:1  Ÿ Assortment and planning based on historical sales  engagement and prioritization on top 20% of loyal  vs. market trends reduced relevance and  customers that drive business accelerated share declines in key categories (tops  Ÿ Poor eCommerce user experience drove a large share  vs. bottoms) of one‐time, promotionally sensitive eComm  Ÿ Lack of visual merchandising created “sea of  customers sameness” Ÿ Higher than industry shrink rates and product loss Ÿ Private brands needed refresh to improve  driven by operational decisions in‐store relevance and clearly segment positioning 7 Confidential – Subject to Non‐Disclosure Agreement     |As we set out to turn this trajectory, we first identified the root cause issues that had driven performance decline Customer, margin & channel issues Category issues Ÿ Confusing and ineffective pricing and promotions Ÿ Shift of unit volume from traffic driving and compressed gross margin, while consumer value acquisition categories like women’s apparel to perception lagged peers lower margin categories like big ticket alienated core consumer Ÿ Outdated traditional marketing strategy lacked 1:1 Ÿ Assortment and planning based on historical sales engagement and prioritization on top 20% of loyal vs. market trends reduced relevance and customers that drive business accelerated share declines in key categories (tops Ÿ Poor eCommerce user experience drove a large share vs. bottoms) of one‐time, promotionally sensitive eComm Ÿ Lack of visual merchandising created “sea of customers sameness” Ÿ Higher than industry shrink rates and product loss Ÿ Private brands needed refresh to improve driven by operational decisions in‐store relevance and clearly segment positioning 7 Confidential – Subject to Non‐Disclosure Agreement |


We are methodically fixing our problems, making foundational  improvements  and creating transformational change for our customer focus segment Fixed our problems and  Deep dive on our customer and their  took immediate actions needs/wants/attitudes Ÿ Reduced and enhanced inventory position Ÿ Identified a powerful insight into how to best serve, retain, and  acquire customers Ÿ Reduced shrink with in‐store operational discipline Ÿ Defined our customer focus segment, who represents 28% of  Ÿ Redesigned and streamlined store processes  our sales today with additional upside through expanded share  (e.g., checkout, in‐store pickup) of wallet Ÿ Strengthened omnichannel navigation, presentation and  Ÿ Developed a plan to delight this customer focus segment that  curation could also activate complementary halo segments that together  Ÿ Aligned merchandise assortment and choice counts with  represent 70% of home and apparel spending the trends, quality and styles for our customers 8 Confidential – Subject to Non‐Disclosure Agreement     |We are methodically fixing our problems, making foundational improvements and creating transformational change for our customer focus segment Fixed our problems and Deep dive on our customer and their took immediate actions needs/wants/attitudes Ÿ Reduced and enhanced inventory position Ÿ Identified a powerful insight into how to best serve, retain, and acquire customers Ÿ Reduced shrink with in‐store operational discipline Ÿ Defined our customer focus segment, who represents 28% of Ÿ Redesigned and streamlined store processes our sales today with additional upside through expanded share (e.g., checkout, in‐store pickup) of wallet Ÿ Strengthened omnichannel navigation, presentation and Ÿ Developed a plan to delight this customer focus segment that curation could also activate complementary halo segments that together Ÿ Aligned merchandise assortment and choice counts with represent 70% of home and apparel spending the trends, quality and styles for our customers 8 Confidential – Subject to Non‐Disclosure Agreement |


We have clearly defined our strategic choices, and these  choices are outlined in our Plan  For Renewal Offer Compelling Merchandise Drive Traffic Deliver Engaging Experience PLAN FOR RENEWAL Fuel Growth Build a Results‐Minded Culture 9 9 Confidential  Confidential – – Subj Subject  ect to  to Non‐Disclosur Non‐Disclosure e Agr  Agreement  eement           | |We have clearly defined our strategic choices, and these choices are outlined in our Plan For Renewal Offer Compelling Merchandise Drive Traffic Deliver Engaging Experience PLAN FOR RENEWAL Fuel Growth Build a Results‐Minded Culture 9 9 Confidential Confidential – – Subj Subject ect to to Non‐Disclosur Non‐Disclosure e Agr Agreement eement | |


These efforts led to meaningful change in trajectory in  FY19 and early FY20 Category Met guidance on Channel / Margin progress Metrics through FY19 progress Fixed our problems and took immediate actions 10 Confidential – Subject to Non‐Disclosure Agreement     |These efforts led to meaningful change in trajectory in FY19 and early FY20 Category Met guidance on Channel / Margin progress Metrics through FY19 progress Fixed our problems and took immediate actions 10 Confidential – Subject to Non‐Disclosure Agreement |


Financial performance was meaningfully improved in FY19 based  on early traction from  our Plan for Renewal Met or exceeded guidance on metrics through FY19 Net sales momentum Gross margin improvement Sales met guidance, with q4 positive comps in several categories Gross margin rate up ~210 bps by optimizing markdown cadence differently,  refining pricing/promotion strategy, and improving shrink Q4 FY18‐FY19 % YoY comp net sales 32.5% 34.6% +10.0% +6.8% +6.4% +2.6% Activewear Women’s            Men’s Dresses FY18 gross margin (%) FY19 gross (%) margin Wear to Work Big & Tall    Inventory, $B EBITDA (A), $M EBITDA (A) growth Increased inventory productivity Adjusted EBITDA substantially exceeded target  Inventory declined, freeing working capital & giving  EBITDA (A) % of sales despite topline trend with rate expansion ~50bps customers a better experience ‐11% 583 568 2.44 2.17 FY18 FY19 FY18 FY19 4.9% 5.4% 11 Confidential – Subject to Non‐Disclosure Agreement     |Financial performance was meaningfully improved in FY19 based on early traction from our Plan for Renewal Met or exceeded guidance on metrics through FY19 Net sales momentum Gross margin improvement Sales met guidance, with q4 positive comps in several categories Gross margin rate up ~210 bps by optimizing markdown cadence differently, refining pricing/promotion strategy, and improving shrink Q4 FY18‐FY19 % YoY comp net sales 32.5% 34.6% +10.0% +6.8% +6.4% +2.6% Activewear Women’s Men’s Dresses FY18 gross margin (%) FY19 gross (%) margin Wear to Work Big & Tall Inventory, $B EBITDA (A), $M EBITDA (A) growth Increased inventory productivity Adjusted EBITDA substantially exceeded target Inventory declined, freeing working capital & giving EBITDA (A) % of sales despite topline trend with rate expansion ~50bps customers a better experience ‐11% 583 568 2.44 2.17 FY18 FY19 FY18 FY19 4.9% 5.4% 11 Confidential – Subject to Non‐Disclosure Agreement |


In FY19, we have made significant improvements to  identified channel and  margin root cause issues Channel /Margin progress Enhanced customer  Developed new  Improved overall  Brand strength Loyal Customer base Omnichannel assets People & culture experience fulfillment models digital experience • Launched new eComm experience in Q1 FY20  • Drove increase in BOPIS of over • Launched ‘Test & Learns’ – single store  and generating significant momentum – with  80% Y/Y tests that enhance customer engagement bounce rates down ~15% and conversion up  • Began offering contact‐free curbside  • Took Test & Learns’ findings and combined  ~40%+ in initial A/B tests pickup; rolled out in early March to 50  into one store, layering in occasion  stores and have expanded since with  merchandising and visual merchandising overwhelming positive customer response  • Implemented occasion merchandising and  (NPS of 91) visual merchandising in 92 stores • Launched our ‘Brand Defining Store’ – a lab  that is informing future actions 12 Confidential – Subject to Non‐Disclosure Agreement     |In FY19, we have made significant improvements to identified channel and margin root cause issues Channel /Margin progress Enhanced customer Developed new Improved overall Brand strength Loyal Customer base Omnichannel assets People & culture experience fulfillment models digital experience • Launched new eComm experience in Q1 FY20 • Drove increase in BOPIS of over • Launched ‘Test & Learns’ – single store and generating significant momentum – with 80% Y/Y tests that enhance customer engagement bounce rates down ~15% and conversion up • Began offering contact‐free curbside • Took Test & Learns’ findings and combined ~40%+ in initial A/B tests pickup; rolled out in early March to 50 into one store, layering in occasion stores and have expanded since with merchandising and visual merchandising overwhelming positive customer response • Implemented occasion merchandising and (NPS of 91) visual merchandising in 92 stores • Launched our ‘Brand Defining Store’ – a lab that is informing future actions 12 Confidential – Subject to Non‐Disclosure Agreement |


We have redefined our merchandise strategy and discipline,  improving our offering to the  customer and building momentum Category progress Built comp sales Improved curation Enhanced assortment Brand strength Loyal Customer base Omnichannel assets People & culture momentum • Relaunched private brand a.n.a in February 2020  • FY19 ending inventory was down 11% vs.  • Six of eight divisions demonstrated comp  leading to immediate share gains in denim and  end of FY18; down 23% compared to end  improvement 2H FY19 vs. 1H FY19 beginning multi‐year roadmap of brand launches  of FY17 • Women’s apparel saw sequential improvement  and relaunches • Improved curation, reducing choice count  in third and fourth quarter of FY19 driven by  while retaining sales • Assortment enhancements stabilized market  positive comps in dresses and broadening of  share position in key categories assortment in sportswear • Reduced inventory enhances productivity  • No longer losing share in Women’s apparel and has improved our shopping experience • Positive comps in Q4 FY19 across high market  • Taking share in Men’s Big & Tall through  growth athletic apparel, in both private and  choice in active and core essentials national brands • Taking share in Baby and Toddler 13 Confidential – Subject to Non‐Disclosure Agreement     |We have redefined our merchandise strategy and discipline, improving our offering to the customer and building momentum Category progress Built comp sales Improved curation Enhanced assortment Brand strength Loyal Customer base Omnichannel assets People & culture momentum • Relaunched private brand a.n.a in February 2020 • FY19 ending inventory was down 11% vs. • Six of eight divisions demonstrated comp leading to immediate share gains in denim and end of FY18; down 23% compared to end improvement 2H FY19 vs. 1H FY19 beginning multi‐year roadmap of brand launches of FY17 • Women’s apparel saw sequential improvement and relaunches • Improved curation, reducing choice count in third and fourth quarter of FY19 driven by while retaining sales • Assortment enhancements stabilized market positive comps in dresses and broadening of share position in key categories assortment in sportswear • Reduced inventory enhances productivity • No longer losing share in Women’s apparel and has improved our shopping experience • Positive comps in Q4 FY19 across high market • Taking share in Men’s Big & Tall through growth athletic apparel, in both private and choice in active and core essentials national brands • Taking share in Baby and Toddler 13 Confidential – Subject to Non‐Disclosure Agreement |


The COVID‐19 disruption and our  expected recovery 14 Confidential – Subject to Non‐Disclosure Agreement     |The COVID‐19 disruption and our expected recovery 14 Confidential – Subject to Non‐Disclosure Agreement |


COVID‐19 has created unprecedented disruptions within the  apparel space, but could allow  JCPenney to accelerate within a “new normal” Offline O nline Illustrative apparel retail impact and phasing | COVID‐19 Spread Mid‐ to long‐term recovery of consumer  E volution towards the  sentiment & supply “new normal” ‘Shock’ during lock down Initia l recovery as stores re‐open • Nationwide store closures • Lower consumer discretionary spend • Growing consumer spend during  • Fully restored  economic recovery consumer confidence • Suppressed eComm sales  • Decreased store traffic due to local  in most categories regulations and consumer hesitation to  • Sustained return in store traffic to  • Permanently changed  What the  enter stores near pre COVID‐19 levels shopping behaviors  industry is  caused by COVID‐19  facing • Accelerated rebound in eComm sales as  • Continued growth in eComm category  crisis customers return to “normalcy” as consumers grow more comfortable  online • Control and reduce costs  • Execute store re‐opening strategy to  • Maintain or grow share of brick‐and‐ • Leapfrog to the “new  where possible protect customers while driving traffic mortar sales  normal” of consumer  shopping behaviors • “Double down” on  • Streamline store network to be more  • Capitalize on customer preference  What JCPenney  eComm business  resilient and profitable shift toward eComm to drive  • Reinvent for the future  must do to  (including tech enabled  sustained growth in the business in real‐time • Continue investment in eComm channel to  overcome curbside pickup) to  accelerate recovery and growth • Leverage agility and growth mindset  maintain customer  led by management relationships and gain  share 15 Confidential – Subject to Non‐Disclosure Agreement     |COVID‐19 has created unprecedented disruptions within the apparel space, but could allow JCPenney to accelerate within a “new normal” Offline O nline Illustrative apparel retail impact and phasing | COVID‐19 Spread Mid‐ to long‐term recovery of consumer E volution towards the sentiment & supply “new normal” ‘Shock’ during lock down Initia l recovery as stores re‐open • Nationwide store closures • Lower consumer discretionary spend • Growing consumer spend during • Fully restored economic recovery consumer confidence • Suppressed eComm sales • Decreased store traffic due to local in most categories regulations and consumer hesitation to • Sustained return in store traffic to • Permanently changed What the enter stores near pre COVID‐19 levels shopping behaviors industry is caused by COVID‐19 facing • Accelerated rebound in eComm sales as • Continued growth in eComm category crisis customers return to “normalcy” as consumers grow more comfortable online • Control and reduce costs • Execute store re‐opening strategy to • Maintain or grow share of brick‐and‐ • Leapfrog to the “new where possible protect customers while driving traffic mortar sales normal” of consumer shopping behaviors • “Double down” on • Streamline store network to be more • Capitalize on customer preference What JCPenney eComm business resilient and profitable shift toward eComm to drive • Reinvent for the future must do to (including tech enabled sustained growth in the business in real‐time • Continue investment in eComm channel to overcome curbside pickup) to accelerate recovery and growth • Leverage agility and growth mindset maintain customer led by management relationships and gain share 15 Confidential – Subject to Non‐Disclosure Agreement |


While short‐term sales will be impacted, we project  eComm channel to return to FY19  trajectory in Q2 FY21 and stores to stabilize by holiday FY21 Annual stores net sales, $B, including Services & “Other” Annual eComm net sales, $B 9,172 6,745 6,681 6,632 6,666 3,763 1,544 2,331 2,119 1,926 1,607 1,322 FY19 FY20 FY21 FY22 FY23 FY24 Gross  FY19 FY20 FY21 FY22 FY23 FY24 1 profit , 3,272  1,140  2,347  2,575  2,584  2,617  419  294  433  522  574  632  $M  Store  846 654  ~604 ~604 ~604 ~604 2 count ‐60‐70% ‐15‐20% FY20 JCPenney stores net sales FY20 JCPenney eComm net sales % change YoY % change YoY Q4 FY21 Q2 FY21 Return to pre‐crisis trajectory Return to pre‐crisis trajectory Quarter Quarter 1 Gross profit excludes adjustments for services, allocations of certain sourcing and distribution center operating expenses, and enterprise co‐op  that are included in GAAP gross margin; gross margin not available at channel level 2 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 16 Confidential – Subject to Non‐Disclosure Agreement     | Source: Daxue, NBS, Industry expert, COVID‐19 US Consumer Pulse Survey 3/16‐3/17/2020, Earnest DataWhile short‐term sales will be impacted, we project eComm channel to return to FY19 trajectory in Q2 FY21 and stores to stabilize by holiday FY21 Annual stores net sales, $B, including Services & “Other” Annual eComm net sales, $B 9,172 6,745 6,681 6,632 6,666 3,763 1,544 2,331 2,119 1,926 1,607 1,322 FY19 FY20 FY21 FY22 FY23 FY24 Gross FY19 FY20 FY21 FY22 FY23 FY24 1 profit , 3,272 1,140 2,347 2,575 2,584 2,617 419 294 433 522 574 632 $M Store 846 654 ~604 ~604 ~604 ~604 2 count ‐60‐70% ‐15‐20% FY20 JCPenney stores net sales FY20 JCPenney eComm net sales % change YoY % change YoY Q4 FY21 Q2 FY21 Return to pre‐crisis trajectory Return to pre‐crisis trajectory Quarter Quarter 1 Gross profit excludes adjustments for services, allocations of certain sourcing and distribution center operating expenses, and enterprise co‐op that are included in GAAP gross margin; gross margin not available at channel level 2 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 16 Confidential – Subject to Non‐Disclosure Agreement | Source: Daxue, NBS, Industry expert, COVID‐19 US Consumer Pulse Survey 3/16‐3/17/2020, Earnest Data


We will streamline our footprint by ~30%, transitioning to  a stronger and more  sustainable fleet Store network optimized... …creating positive footprint shifts FY19 stores net sales,  $B,  1 Store count including Services & “Other” A/B malls On mall Per‐store revenue, FY19 Current  846 $9.2B 58% 72% $10.8M network Go‐forward  ~604 $7.5B 62% 74% $12.4M network Driven by… Optimizing for… • Balanced benefits of maximized per‐store  • Strongest stores with positive trending historical comps, low competitive  performance and economies of scale pressure, and high target income demo representation • KPI thresholds with business judgement layered  • Exiting 116 MSAs that compose only 7% of FY19 revenue as stores are  in: driving complexity in the business ─ Operating margin • Balanced nationwide portfolio, indexed toward the Midwest (30% of future  ─ Full year revenue network), South (21%), and Southeast (17%) ─ Space productivity 1  Reflects latest thinking on stores as of April 2020; exact number continues to evolve 17 Confidential – Subject to Non‐Disclosure Agreement     |We will streamline our footprint by ~30%, transitioning to a stronger and more sustainable fleet Store network optimized... …creating positive footprint shifts FY19 stores net sales, $B, 1 Store count including Services & “Other” A/B malls On mall Per‐store revenue, FY19 Current 846 $9.2B 58% 72% $10.8M network Go‐forward ~604 $7.5B 62% 74% $12.4M network Driven by… Optimizing for… • Balanced benefits of maximized per‐store • Strongest stores with positive trending historical comps, low competitive performance and economies of scale pressure, and high target income demo representation • KPI thresholds with business judgement layered • Exiting 116 MSAs that compose only 7% of FY19 revenue as stores are in: driving complexity in the business ─ Operating margin • Balanced nationwide portfolio, indexed toward the Midwest (30% of future ─ Full year revenue network), South (21%), and Southeast (17%) ─ Space productivity 1 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 17 Confidential – Subject to Non‐Disclosure Agreement |


In light of channel shifts, we are doubling down in  eComm to create a curated shopping  experience with digital flagship driving ~$2.3B in sales by FY24 eComm will be a bigger driver of enterprise sales Where JCPenney is well positioned to grow FY19 FY24 Marketing  Fulfillment  $1.5B $2.3B eComm  efficiency enhancements net sales +9% p.a. 14% 26% Higher  % of enterprise  Site experience net sales basket +12 pts JCPenney eComm strategy is critical to fueling future growth Mid Digital channel serving as primary means of retaining a portion of customers lost by store closures Long Increasing digital penetration to be on par with competitors to fuel growth 18 Confidential – Subject to Non‐Disclosure Agreement     |In light of channel shifts, we are doubling down in eComm to create a curated shopping experience with digital flagship driving ~$2.3B in sales by FY24 eComm will be a bigger driver of enterprise sales Where JCPenney is well positioned to grow FY19 FY24 Marketing Fulfillment $1.5B $2.3B eComm efficiency enhancements net sales +9% p.a. 14% 26% Higher % of enterprise Site experience net sales basket +12 pts JCPenney eComm strategy is critical to fueling future growth Mid Digital channel serving as primary means of retaining a portion of customers lost by store closures Long Increasing digital penetration to be on par with competitors to fuel growth 18 Confidential – Subject to Non‐Disclosure Agreement |


Our Plan for Renewal 19 Confidential – Subject to Non‐Disclosure Agreement     |Our Plan for Renewal 19 Confidential – Subject to Non‐Disclosure Agreement |


Offer Compelling Merchandise Drive Traffic Deliver Engaging Experience PLAN FOR RENEWAL Fuel Growth Build a Results‐Minded Culture 20 20 Confidential  Confidential – – Subj Subject  ect to  to Non‐Disclosur Non‐Disclosure e Agr  Agreement  eement           | |Offer Compelling Merchandise Drive Traffic Deliver Engaging Experience PLAN FOR RENEWAL Fuel Growth Build a Results‐Minded Culture 20 20 Confidential Confidential – – Subj Subject ect to to Non‐Disclosur Non‐Disclosure e Agr Agreement eement | |


Our compelling merchandise strategy is the framework for  how we bring product to life  online and in our stores Ÿ Market share – supports our choices and focus; we defined our category  roles based on customer importance and market‐share relevance Compelling Category  Ÿ Assortment architecture and choice count – pivotal to a curated  merchandise management assortment; every item we select has clear purpose and intent Ÿ Pricing – delivers upon our value positioning with strategic investment in  pricing and promotion where the customer most values it, with consistent  and compelling value available every day Ÿ Inventory management – creates easy experience thru strategic inventory  levels; choice count management, buy‐to‐sales, detailed channel flow,  timely markdowns, and aged inventory management Brand management • Brand architecture – framework to ensure each brand is distinct and  purposeful and does not compete with another brand  • Complementary private and national brands – each have a role, working  together to provide the customer the product, quality and value they’re  looking for 21 Confidential – Subject to Non‐Disclosure Agreement     |Our compelling merchandise strategy is the framework for how we bring product to life online and in our stores Ÿ Market share – supports our choices and focus; we defined our category roles based on customer importance and market‐share relevance Compelling Category Ÿ Assortment architecture and choice count – pivotal to a curated merchandise management assortment; every item we select has clear purpose and intent Ÿ Pricing – delivers upon our value positioning with strategic investment in pricing and promotion where the customer most values it, with consistent and compelling value available every day Ÿ Inventory management – creates easy experience thru strategic inventory levels; choice count management, buy‐to‐sales, detailed channel flow, timely markdowns, and aged inventory management Brand management • Brand architecture – framework to ensure each brand is distinct and purposeful and does not compete with another brand • Complementary private and national brands – each have a role, working together to provide the customer the product, quality and value they’re looking for 21 Confidential – Subject to Non‐Disclosure Agreement |


We drive traffic by knowing our customer and engaging  them across channels Ÿ Build value proposition around customer focus segment (All‐in Shopping  Enthusiast), creating a place fun to shop, making it easier to put outfits  Know our Drive traffic together, supporting them in celebrating life’s events, and providing a fair  deal, that’s easy to understand customers Ÿ Capture more than fair share of halo customer segments, who seek  product quality and price/value Ÿ Continue to drive sales and traffic with less marketing spend by: — Fully integrating merchandising and eComm priorities into marketing  messages to communicate relevant stories (e.g., product, inspiration,  Drive traffic across  value) everyday — Leveraging analytics to continually optimize digital and traditional spend  our existing channels across mechanisms and customer audiences (e.g., top 20%, store only,  online only)  — Personalizing our customer interactions across channels (e.g., email, site,  social, display) — Enhancing customer affinity program to better engage loyal customers 22 Confidential – Subject to Non‐Disclosure Agreement     |We drive traffic by knowing our customer and engaging them across channels Ÿ Build value proposition around customer focus segment (All‐in Shopping Enthusiast), creating a place fun to shop, making it easier to put outfits Know our Drive traffic together, supporting them in celebrating life’s events, and providing a fair deal, that’s easy to understand customers Ÿ Capture more than fair share of halo customer segments, who seek product quality and price/value Ÿ Continue to drive sales and traffic with less marketing spend by: — Fully integrating merchandising and eComm priorities into marketing messages to communicate relevant stories (e.g., product, inspiration, Drive traffic across value) everyday — Leveraging analytics to continually optimize digital and traditional spend our existing channels across mechanisms and customer audiences (e.g., top 20%, store only, online only) — Personalizing our customer interactions across channels (e.g., email, site, social, display) — Enhancing customer affinity program to better engage loyal customers 22 Confidential – Subject to Non‐Disclosure Agreement |


We meet our customers where they are with an engaging  experience on our digital flagship  and in our stores Ÿ Digital is becoming a core part of all customer experiences, as nearly 90%  of customers start their path to purchase online, even those that ultimately  Deliver engaging Digital lead to our stores experiences Ÿ Digital experience enhancement with mobile‐first design is already  improving customer experience on our digital platforms Ÿ Impactful digital merchandising ensures we lead with and feature our  compelling product proposition Ÿ Seamless fulfillment meets the customer where, when, and how they  prefer Ÿ Stores remain a critical asset for building personal connections with  Stores customers Ÿ FY19 tests informed our physical initiatives rollout and expansion plans  and our learnings give us the confidence to invest in our store fleet 23 Confidential – Subject to Non‐Disclosure Agreement     |We meet our customers where they are with an engaging experience on our digital flagship and in our stores Ÿ Digital is becoming a core part of all customer experiences, as nearly 90% of customers start their path to purchase online, even those that ultimately Deliver engaging Digital lead to our stores experiences Ÿ Digital experience enhancement with mobile‐first design is already improving customer experience on our digital platforms Ÿ Impactful digital merchandising ensures we lead with and feature our compelling product proposition Ÿ Seamless fulfillment meets the customer where, when, and how they prefer Ÿ Stores remain a critical asset for building personal connections with Stores customers Ÿ FY19 tests informed our physical initiatives rollout and expansion plans and our learnings give us the confidence to invest in our store fleet 23 Confidential – Subject to Non‐Disclosure Agreement |


The go‐forward business will be a smaller but  stronger, more effective, and more profitable  enterprise Ÿ The approximately 604 future fleet represent the highest sales‐generating,  most profitable, and most productive stores in the network Fuel growth Leaner more  Ÿ These stores make up 82% of FY19 net sales resilient fleet Ÿ The go‐forward network will enable better allocation of centralized  resources and capital expenditure while maximizing cash generation Ÿ Although the network will be streamlined, we will still maintain nationwide  coverage, allowing us to continue inspiring JCPenney shoppers across the  country Ÿ EBITDA (A) on path to exceed 10% of net sales by FY24 Ÿ SG&A rate down 390 bps to 29.6% by FY22 with further leverage (~65 bps  Right sized  per year) through FY24 cost structure 24 Confidential – Subject to Non‐Disclosure Agreement     |The go‐forward business will be a smaller but stronger, more effective, and more profitable enterprise Ÿ The approximately 604 future fleet represent the highest sales‐generating, most profitable, and most productive stores in the network Fuel growth Leaner more Ÿ These stores make up 82% of FY19 net sales resilient fleet Ÿ The go‐forward network will enable better allocation of centralized resources and capital expenditure while maximizing cash generation Ÿ Although the network will be streamlined, we will still maintain nationwide coverage, allowing us to continue inspiring JCPenney shoppers across the country Ÿ EBITDA (A) on path to exceed 10% of net sales by FY24 Ÿ SG&A rate down 390 bps to 29.6% by FY22 with further leverage (~65 bps Right sized per year) through FY24 cost structure 24 Confidential – Subject to Non‐Disclosure Agreement |


We are committed to our Plan for Renewal and  acknowledge the current landscape requires  agility as customer behavior shifts We recognize the world has changed And we’re responding accordingly Customers seek contactless experiences (56%  • Accelerate enhancements to eCommerce user experiences currently expect to continue post‐crisis),  • Enhance development of fulfillment options that meet customer accelerating the channel shift to eComm (both  where they are while driving cost‐efficiencies; developed the  ship to home and ship to store models) technology to efficiently deliver curbside pickup We will continue to  Customers are trying new retailers, brands, and  • Accelerate customer engagement and personalization efforts to  categories (~20% of consumers reported switching  ensure we retain our loyal customers while capitalizing on  evolve with the market  brands or retailers) creating opportunity to gain new  opportunity to engage new customers and our customers’  customers (but risk to current customers) preferences while  retaining a clear sense of  Behavioral shifts will alter category and occasion  • Leverage our breadth of categories and occasions to ensure we  priorities as at‐home occasions gain importance  offer and highlight relevant merchandise during and beyond the  our strategic direction  vs. away‐from‐home current crisis, e.g. at‐home chill, family time, outdoor escapes through and after the  current health and  Economic uncertainty is driving a shift to value,  • Build on progress to‐date to continue delivering value and price  economic crisis which in turn is increasing promotional and price  clarity in a way that resonates with customers and cuts through  pressure from retailers (expanded ~15% vs. year  in a more promotionally intensive environment ago mid‐April) All retailers are facing inventory overhang, further  • Continue to execute improvements to inventory management  compounding promotional and markdown  and clearance, including thoughtful allocation of assortment and  intensity in 2H FY20 and into FY21 inventory across digital and stores 25 Confidential – Subject to Non‐Disclosure Agreement     | Sour ce: COVID‐19 customer sentiment surveys March‐April 2020; EDITED price scrapingWe are committed to our Plan for Renewal and acknowledge the current landscape requires agility as customer behavior shifts We recognize the world has changed And we’re responding accordingly Customers seek contactless experiences (56% • Accelerate enhancements to eCommerce user experiences currently expect to continue post‐crisis), • Enhance development of fulfillment options that meet customer accelerating the channel shift to eComm (both where they are while driving cost‐efficiencies; developed the ship to home and ship to store models) technology to efficiently deliver curbside pickup We will continue to Customers are trying new retailers, brands, and • Accelerate customer engagement and personalization efforts to categories (~20% of consumers reported switching ensure we retain our loyal customers while capitalizing on evolve with the market brands or retailers) creating opportunity to gain new opportunity to engage new customers and our customers’ customers (but risk to current customers) preferences while retaining a clear sense of Behavioral shifts will alter category and occasion • Leverage our breadth of categories and occasions to ensure we priorities as at‐home occasions gain importance offer and highlight relevant merchandise during and beyond the our strategic direction vs. away‐from‐home current crisis, e.g. at‐home chill, family time, outdoor escapes through and after the current health and Economic uncertainty is driving a shift to value, • Build on progress to‐date to continue delivering value and price economic crisis which in turn is increasing promotional and price clarity in a way that resonates with customers and cuts through pressure from retailers (expanded ~15% vs. year in a more promotionally intensive environment ago mid‐April) All retailers are facing inventory overhang, further • Continue to execute improvements to inventory management compounding promotional and markdown and clearance, including thoughtful allocation of assortment and intensity in 2H FY20 and into FY21 inventory across digital and stores 25 Confidential – Subject to Non‐Disclosure Agreement | Sour ce: COVID‐19 customer sentiment surveys March‐April 2020; EDITED price scraping


Historic and Projected Financial  Overview 26 Confidential – Subject to Non‐Disclosure Agreement     |Historic and Projected Financial Overview 26 Confidential – Subject to Non‐Disclosure Agreement |


Financial summary Our planned reemergence from the COVID‐19 crisis is built upon the components of our Plan for Renewal, plus a more rationalized store  portfolio and an accelerated reduction in our enterprise cost structure, that will deliver over $2.8B in adjusted EBITDA (A) from FY21  through  FY24 with four actions:  1 2 3 4 Rationalize store fleet  Drive eComm  Expand gross  Reduce SG&A and drive comp growth margin Rationalizing our store portfolio  Driving double digit  Expanding gross margin 100bps  Reducing SG&A spend  from 846 stores to approximately  growth in our digital  by FY22 and stabilizing above  by over $1B versus FY19 604 stores and driving positive  flagship channel by FY21 35% despite channel shifts enterprise comps from FY22  forward The sales, margin, and cost improvements drive EBITDA (A) rate expansion (490 bps to 10.3% of net sales by FY24)  and absolute EBITDA (A) growth despite a smaller sales base resulting from the streamlined store portfolio 27 Confidential – Subject to Non‐Disclosure Agreement     |Financial summary Our planned reemergence from the COVID‐19 crisis is built upon the components of our Plan for Renewal, plus a more rationalized store portfolio and an accelerated reduction in our enterprise cost structure, that will deliver over $2.8B in adjusted EBITDA (A) from FY21 through FY24 with four actions: 1 2 3 4 Rationalize store fleet Drive eComm Expand gross Reduce SG&A and drive comp growth margin Rationalizing our store portfolio Driving double digit Expanding gross margin 100bps Reducing SG&A spend from 846 stores to approximately growth in our digital by FY22 and stabilizing above by over $1B versus FY19 604 stores and driving positive flagship channel by FY21 35% despite channel shifts enterprise comps from FY22 forward The sales, margin, and cost improvements drive EBITDA (A) rate expansion (490 bps to 10.3% of net sales by FY24) and absolute EBITDA (A) growth despite a smaller sales base resulting from the streamlined store portfolio 27 Confidential – Subject to Non‐Disclosure Agreement |


Income Statement 1  Adjusted EBITDA to exceed $900M and reach 10% of net sales in FY24 as we return the business to topline growth and expand operating  margin ($ in millions) FY19 FY20 FY21 vs LLY FY22 FY23 FY24 Store Sales $8,518 $3,440 $6,168 $6,123 $6,154 $6,231 Store Comp% (6.0%) (58.8%) 81.1% (15.8%) 2.7% 0.5% 1.3% eComm Sales $1,544 $1,322 $1,607 $1,926 $2,119 $2,331 eComm Comp% (4.1%) (14.3%) 21.6% 4.1% 20.0% 10.0% 10.0% Merch Sales $10,062 $4,762 $7,776 $8,050 $8,273 $8,562 Ÿ Rationalizing our store portfolio from 846  Services & Other $654 $323 $513 $509 $511 $514 stores to approximately 604 stores (192  1 closures in FY20 and the closure and sale of  Total Net Sales $10,716 $5,085 $8,288 $8,558 $8,784 $9,076 Enterprise Comp% (5.6%) (48.7%) 64.4% (8.4%) 6.0% 2.6% 3.3% 50 owned stores by the end of Q2 FY21) Credit Income $451 $194 $258 $294 $298 $302 Ÿ Positive enterprise comps FY22 – FY24 Gross Margin $3,703 $1,340 $2,705 $3,048 $3,109 $3,199 % Net Sales 34.6% 26.4% 32.6% 35.6% 35.4% 35.2% Ÿ Closure of two distribution centers in FY21 SG&A $3,585 $2,189 $2,685 $2,537 $2,546 $2,566 % Net Sales 33.5% 43.0% 32.4% 29.6% 29.0% 28.3% Ÿ Reduction of corporate overhead by a  Real Estate Gain/(Loss) $15 ($178) $70 $0 $0 $0 minimum of 25% by FY22 and a $1B reduction  % Net Sales 0.1% (3.5%) 0.8% 0.0% 0.0% 0.0% Reorganization $0 $92 $0 $0 $0 $0 in SG&A % Net Sales 0.0% 1.8% 0.0% 0.0% 0.0% 0.0% Restructuring $48 $180 $49 $0 $0 $0 Ÿ Capital investment of approximately $240M  % Net Sales 0.5% 3.5% 0.6% 0.0% 0.0% 0.0% per year (FY21 – FY24)  Depreciation $544 $508 $476 $469 $481 $488 % Net Sales 5.1% 10.0% 5.7% 5.5% 5.5% 5.4% EBITDA (A) $583 ($638) $279 $806 $861 $935 % Net Sales 5.4% (12.5%) 3.4% 9.4% 9.8% 10.3% 2019 is go forward comp EBITDA (A) excludes depreciation, restruturing, reorganization and non-operating Real Estate Gains/Losses 1  Reflects latest thinking on stores as of April 2020; exact number continues to evolve 28 Confidential – Subject to Non‐Disclosure Agreement     |Income Statement 1 Adjusted EBITDA to exceed $900M and reach 10% of net sales in FY24 as we return the business to topline growth and expand operating margin ($ in millions) FY19 FY20 FY21 vs LLY FY22 FY23 FY24 Store Sales $8,518 $3,440 $6,168 $6,123 $6,154 $6,231 Store Comp% (6.0%) (58.8%) 81.1% (15.8%) 2.7% 0.5% 1.3% eComm Sales $1,544 $1,322 $1,607 $1,926 $2,119 $2,331 eComm Comp% (4.1%) (14.3%) 21.6% 4.1% 20.0% 10.0% 10.0% Merch Sales $10,062 $4,762 $7,776 $8,050 $8,273 $8,562 Ÿ Rationalizing our store portfolio from 846 Services & Other $654 $323 $513 $509 $511 $514 stores to approximately 604 stores (192 1 closures in FY20 and the closure and sale of Total Net Sales $10,716 $5,085 $8,288 $8,558 $8,784 $9,076 Enterprise Comp% (5.6%) (48.7%) 64.4% (8.4%) 6.0% 2.6% 3.3% 50 owned stores by the end of Q2 FY21) Credit Income $451 $194 $258 $294 $298 $302 Ÿ Positive enterprise comps FY22 – FY24 Gross Margin $3,703 $1,340 $2,705 $3,048 $3,109 $3,199 % Net Sales 34.6% 26.4% 32.6% 35.6% 35.4% 35.2% Ÿ Closure of two distribution centers in FY21 SG&A $3,585 $2,189 $2,685 $2,537 $2,546 $2,566 % Net Sales 33.5% 43.0% 32.4% 29.6% 29.0% 28.3% Ÿ Reduction of corporate overhead by a Real Estate Gain/(Loss) $15 ($178) $70 $0 $0 $0 minimum of 25% by FY22 and a $1B reduction % Net Sales 0.1% (3.5%) 0.8% 0.0% 0.0% 0.0% Reorganization $0 $92 $0 $0 $0 $0 in SG&A % Net Sales 0.0% 1.8% 0.0% 0.0% 0.0% 0.0% Restructuring $48 $180 $49 $0 $0 $0 Ÿ Capital investment of approximately $240M % Net Sales 0.5% 3.5% 0.6% 0.0% 0.0% 0.0% per year (FY21 – FY24) Depreciation $544 $508 $476 $469 $481 $488 % Net Sales 5.1% 10.0% 5.7% 5.5% 5.5% 5.4% EBITDA (A) $583 ($638) $279 $806 $861 $935 % Net Sales 5.4% (12.5%) 3.4% 9.4% 9.8% 10.3% 2019 is go forward comp EBITDA (A) excludes depreciation, restruturing, reorganization and non-operating Real Estate Gains/Losses 1 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 28 Confidential – Subject to Non‐Disclosure Agreement |


Enterprise sales ‐ Comparable sales turn positive as we close unproductive stores and  eComm growth offsets negative store sales $ millions Total Increase Decrease 10,716 ‐1,615 242 Closing ‐70 Stores +798 9,076 ‐753 3 5 Discontinued  FY19 Sales Closed Stores Stores & Services eComm FY24 Sales 4 Merchandise 1 2(vs. LLY) Comp Sales FY19 FY20 FY21 FY22 FY23 FY24 Stores (6.0%) (58.8%) (15.8%) 2.7% 0.5% 1.3% eComm (4.1%) (14.3%) 4.1% 20.0% 10.0% 10.0% 1 Shown excluding discontinued businesses 2 Comp FY21 is shown in comparison to FY19 3 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 4  $59M stores and $11M eComm 5  Net of impact from closed stores on eComm sales, excluding discontinued merchandise impact displayed separately 29 Confidential – Subject to Non‐Disclosure Agreement     |Enterprise sales ‐ Comparable sales turn positive as we close unproductive stores and eComm growth offsets negative store sales $ millions Total Increase Decrease 10,716 ‐1,615 242 Closing ‐70 Stores +798 9,076 ‐753 3 5 Discontinued FY19 Sales Closed Stores Stores & Services eComm FY24 Sales 4 Merchandise 1 2(vs. LLY) Comp Sales FY19 FY20 FY21 FY22 FY23 FY24 Stores (6.0%) (58.8%) (15.8%) 2.7% 0.5% 1.3% eComm (4.1%) (14.3%) 4.1% 20.0% 10.0% 10.0% 1 Shown excluding discontinued businesses 2 Comp FY21 is shown in comparison to FY19 3 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 4 $59M stores and $11M eComm 5 Net of impact from closed stores on eComm sales, excluding discontinued merchandise impact displayed separately 29 Confidential – Subject to Non‐Disclosure Agreement |


1 Store sales ‐ Traffic declines are planned to moderate as growth initiatives help stores  rebound from COVID‐19 impact Disc. Merch. $ millions 4 Non Go Forward Go Forward 9,172 Decrease 59 ‐59 ‐1,173 Increase 1,615 ‐442 192  ‐399 6,745 50 Closing Closing ‐636 79 34 169 5 5 Stores Stores 7,499 FY19 Sales Discontinued  FY20 Closing  FY21 Closing  COVID‐19  FY20‐FY21  FY22 Comp  FY23 Comp  FY24 Comp  FY24 Sales 2 3 Merchandise Stores Stores decline Traffic  2.7% 0.5% 1.3% Discontinued  Momentum  1 Merchandise ‐4.3% p.a. 1 Discontinued merchandise also removed from go‐forward stores 2 Sales decline FY20 and FY21 in excess of incoming momentum, due to COVID‐19 closures and traffic impacts FY20‐FY21  3 Includes COVID‐19 recovery effect given comps are on depressed Q1‐Q3 FY21 Traffic  4  Includes discontinued merchandise 5 Reflects latest thinking on stores as of April 2020; exact number continues to evolve Momentum  30 Confidential – Subject to Non‐Disclosure Agreement     | ‐4.3% p.a.1 Store sales ‐ Traffic declines are planned to moderate as growth initiatives help stores rebound from COVID‐19 impact Disc. Merch. $ millions 4 Non Go Forward Go Forward 9,172 Decrease 59 ‐59 ‐1,173 Increase 1,615 ‐442 192 ‐399 6,745 50 Closing Closing ‐636 79 34 169 5 5 Stores Stores 7,499 FY19 Sales Discontinued FY20 Closing FY21 Closing COVID‐19 FY20‐FY21 FY22 Comp FY23 Comp FY24 Comp FY24 Sales 2 3 Merchandise Stores Stores decline Traffic 2.7% 0.5% 1.3% Discontinued Momentum 1 Merchandise ‐4.3% p.a. 1 Discontinued merchandise also removed from go‐forward stores 2 Sales decline FY20 and FY21 in excess of incoming momentum, due to COVID‐19 closures and traffic impacts FY20‐FY21 3 Includes COVID‐19 recovery effect given comps are on depressed Q1‐Q3 FY21 Traffic 4 Includes discontinued merchandise 5 Reflects latest thinking on stores as of April 2020; exact number continues to evolve Momentum 30 Confidential – Subject to Non‐Disclosure Agreement | ‐4.3% p.a.


1 Rationalizing the store portfolio ‐ Go‐forward portfolio of stores represent a more  financially productive fleet across all key financial measures Detail follows Store performance by tranche, FY19 Sales share,  Avg sales per  Sales per  Avg four‐wall  3 1 # of stores Sales , $M % store, $M SF , $ profit, $M Current fleet 846 $9,172 100% $10.8 $98  $1,377 G o forward stores are more  financially resilient Ÿ Higher average sales 4 A Leased exits 192 $1,173 13% $6.1  $74  $341 Ÿ Higher sales productivity Ÿ Higher four‐wall  4 B Owned exits 50 $442 5% $8.8  $64  $606 profitability Open ~604 $7,499 82% $12.4 $106  $1,770 (go forward fleet) 1 Sales per gross square foot 2 Labor expense per gross square foot 3 Merchandise, services, and other; current fleet inclusive of discontinued merchandise; exits and go‐forward fleet value excludes discontinued  merchandise totaling $59M (0.6% of $9,172M total sales of current fleet) 4 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 31 Confidential – Subject to Non‐Disclosure Agreement     |1 Rationalizing the store portfolio ‐ Go‐forward portfolio of stores represent a more financially productive fleet across all key financial measures Detail follows Store performance by tranche, FY19 Sales share, Avg sales per Sales per Avg four‐wall 3 1 # of stores Sales , $M % store, $M SF , $ profit, $M Current fleet 846 $9,172 100% $10.8 $98 $1,377 G o forward stores are more financially resilient Ÿ Higher average sales 4 A Leased exits 192 $1,173 13% $6.1 $74 $341 Ÿ Higher sales productivity Ÿ Higher four‐wall 4 B Owned exits 50 $442 5% $8.8 $64 $606 profitability Open ~604 $7,499 82% $12.4 $106 $1,770 (go forward fleet) 1 Sales per gross square foot 2 Labor expense per gross square foot 3 Merchandise, services, and other; current fleet inclusive of discontinued merchandise; exits and go‐forward fleet value excludes discontinued merchandise totaling $59M (0.6% of $9,172M total sales of current fleet) 4 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 31 Confidential – Subject to Non‐Disclosure Agreement |


1A Leased store exits overview Store count by years remaining on lease 1 Leased stores identified for closure (total = 192 ) 39 Ÿ Closures for close‐in  34 34 leases were previously  29 planned for phasing as  leases expired, or in  extreme cases in spite  of lease break penalties 18 Ÿ Current context creates  an opportunity for a  13 more holistic and  consolidated network  6 optimization given lease  44 33 3 timing is less of a  11 0 00 constraint 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 15+ 47 145 1 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 32 Confidential – Subject to Non‐Disclosure Agreement     |1A Leased store exits overview Store count by years remaining on lease 1 Leased stores identified for closure (total = 192 ) 39 Ÿ Closures for close‐in 34 34 leases were previously 29 planned for phasing as leases expired, or in extreme cases in spite of lease break penalties 18 Ÿ Current context creates an opportunity for a 13 more holistic and consolidated network 6 optimization given lease 44 33 3 timing is less of a 11 0 00 constraint 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 15+ 47 145 1 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 32 Confidential – Subject to Non‐Disclosure Agreement |


1B Owned store exits overview Encumbered vs. unencumbered Financials Malls Encumbered # of stores Average FY19 sales per store, $ M Mall grades Encumbered AB C D Unencumbered Encumbered Leased exits 6.3 Owned  Owned  22% 28% 46% 4% 32% 68% exits exits Owned exits 9.1 Go‐forward Go‐ 20% 32% 46% 2% 61% 39% forward Go‐forward 12.4 Average FY19 4‐wall profitability per store $ M Mall type Mall Off‐Mall Leased exits 0.3 Owned exits 76% 24% Owned exits 0.6 Go‐forward 74% 26% Go‐forward 1.8 1. Total sales based on total department sales in FY19 2. Off‐mall is defined as all stores not tagged as  Mall Store  by JCP internal reporting. This includes free standing stores, strip center stores, and central business district stores. 3. Reported as a percentage of on‐mall closures falling into each grade bucket. 33 Confidential – Subject to Non‐Disclosure Agreement     |1B Owned store exits overview Encumbered vs. unencumbered Financials Malls Encumbered # of stores Average FY19 sales per store, $ M Mall grades Encumbered AB C D Unencumbered Encumbered Leased exits 6.3 Owned Owned 22% 28% 46% 4% 32% 68% exits exits Owned exits 9.1 Go‐forward Go‐ 20% 32% 46% 2% 61% 39% forward Go‐forward 12.4 Average FY19 4‐wall profitability per store $ M Mall type Mall Off‐Mall Leased exits 0.3 Owned exits 76% 24% Owned exits 0.6 Go‐forward 74% 26% Go‐forward 1.8 1. Total sales based on total department sales in FY19 2. Off‐mall is defined as all stores not tagged as Mall Store by JCP internal reporting. This includes free standing stores, strip center stores, and central business district stores. 3. Reported as a percentage of on‐mall closures falling into each grade bucket. 33 Confidential – Subject to Non‐Disclosure Agreement |


1 To assess the go‐forward network, we evaluated a range of forward‐looking scenarios for  the industry, JCPenney, and individual store performance through COVID‐19 and recovery Ÿ Leveraged macroeconomic COVID‐19 scenarios for US (epidemiological and store  opening approach) applied to Apparel retail total sales projections, anchored in depth  Anchored in Apparel and length of post COVID‐19 recession and speed of recovery industry trajectory… Ÿ Built multiple scenarios to simulate multiple scenarios and projections incorporating  channel shift dynamics both through crisis and into recovery Ÿ Refined scenarios to incorporate expected additional pressure to department store  ..further refined trajectory for department store  channel impact, including historical performance relative to apparel industry pre‐crisis  channel factors… and anticipated consumer behavior shifts post COVID‐19 recovery Ÿ Simulated JCP performance in context of broader department store trajectory,  incorporating both historical performance and recent ‘Plan for Renewal’ traction  Ÿ Estimated performance at individual store level based on openings July 1 and recovery  to FY19 sales trajectory in Q4 FY21 in base scenario: … to simulate JCPenney bottom‐up scenarios at  — Store historical comp trend  store‐level based on total enterprise and store‐ specific factors — Competitive intensity in trade area — Mall grade — Trade area demographics 34 Confidential – Subject to Non‐Disclosure Agreement     |1 To assess the go‐forward network, we evaluated a range of forward‐looking scenarios for the industry, JCPenney, and individual store performance through COVID‐19 and recovery Ÿ Leveraged macroeconomic COVID‐19 scenarios for US (epidemiological and store opening approach) applied to Apparel retail total sales projections, anchored in depth Anchored in Apparel and length of post COVID‐19 recession and speed of recovery industry trajectory… Ÿ Built multiple scenarios to simulate multiple scenarios and projections incorporating channel shift dynamics both through crisis and into recovery Ÿ Refined scenarios to incorporate expected additional pressure to department store ..further refined trajectory for department store channel impact, including historical performance relative to apparel industry pre‐crisis channel factors… and anticipated consumer behavior shifts post COVID‐19 recovery Ÿ Simulated JCP performance in context of broader department store trajectory, incorporating both historical performance and recent ‘Plan for Renewal’ traction Ÿ Estimated performance at individual store level based on openings July 1 and recovery to FY19 sales trajectory in Q4 FY21 in base scenario: … to simulate JCPenney bottom‐up scenarios at — Store historical comp trend store‐level based on total enterprise and store‐ specific factors — Competitive intensity in trade area — Mall grade — Trade area demographics 34 Confidential – Subject to Non‐Disclosure Agreement |


1 Go‐forward network built around a high performing and resilient set of stores based on  both store financials and strategic considerations Closures based on        Strategic add‐backs to  Tentative go‐forward  Current store portfolio pro‐forma four‐wall  Subtotal Strategic closures network network performance Leased stores 568 ‐217 351 +38 ‐13 376 Owned stores 278 ‐46 232 +6 ‐10 228 Total 846 ‐263 583 +44 ‐23 ~604 Retain stores based on primary  Critical additional factors  Critical additional include: • Go‐forward network  criteria: include: after both four wall  • Risk of performance  performance and  • Generate sufficient operating  • Potential for  deterioration strategic conside‐ cash under projected topline  performance  • Property  rations are incorpo‐ scenarios acceleration due to  considerations  rated either market or store  • Strong absolute topline and  including mall /  conditions growth trajectory, increasing  landlord outlook and  cost leverage into the future • Network considerations  required capital  including retaining  investment • Sufficient turnover relative to  presence in key markets size given size is driver of both  • Network  operating and capital  • Economic considerations  considerations  expenditures including favorable  including stores with  landlord terms not  excess burden on  captured directly in store  supply chain P&L • Other site constraints  NOTE: Reflects latest thinking on stores as of April 2020; exact number continues to evolve (e.g. mall  35 Confidential – Subject to Non‐Disclosure Agreement     | demolishment)1 Go‐forward network built around a high performing and resilient set of stores based on both store financials and strategic considerations Closures based on Strategic add‐backs to Tentative go‐forward Current store portfolio pro‐forma four‐wall Subtotal Strategic closures network network performance Leased stores 568 ‐217 351 +38 ‐13 376 Owned stores 278 ‐46 232 +6 ‐10 228 Total 846 ‐263 583 +44 ‐23 ~604 Retain stores based on primary Critical additional factors Critical additional include: • Go‐forward network criteria: include: after both four wall • Risk of performance performance and • Generate sufficient operating • Potential for deterioration strategic conside‐ cash under projected topline performance • Property rations are incorpo‐ scenarios acceleration due to considerations rated either market or store • Strong absolute topline and including mall / conditions growth trajectory, increasing landlord outlook and cost leverage into the future • Network considerations required capital including retaining investment • Sufficient turnover relative to presence in key markets size given size is driver of both • Network operating and capital • Economic considerations considerations expenditures including favorable including stores with landlord terms not excess burden on captured directly in store supply chain P&L • Other site constraints NOTE: Reflects latest thinking on stores as of April 2020; exact number continues to evolve (e.g. mall 35 Confidential – Subject to Non‐Disclosure Agreement | demolishment)


1 The store financial assessment identifies closures based on three primary filters, yielding  583 stores as a base for the preliminary go‐forward network  To be closed To retain as preliminary go-forward Store count by closure status and metric, Store count 1 Assessment Filters Operating margin dollars Full year store sales Ÿ Retain stores that generate  > $5M > $14M 15 132 sufficient operating cash under  projected topline scenarios $4M to $5M 5 Ÿ Retain stores with strong absolute  $12M to $14M 8 73 topline and growth trajectory,  increasing cost leverage into the  $3M to $4M 29 $10M to $12M 14 107 future Ÿ Retain stores with sufficient  $2M to $3M 89 $8M to $10M 23 101 turnover relative to size given size is  driver of both operating and capital  $1M to $2M 2 273 expenditures $6M to $8M 31 99 $0 to $1M 242 187 $4M to $6M 34 71 < $0M < $4M 138 0 19 1 Dollar profitability shown for context but not used explicitly in store closure decisions.  Closure thresholds based on % operating margin,  total sakes, and space  productivity NOTE: Reflects latest thinking on stores as of April 2020; exact number continues to evolve 36 Confidential – Subject to Non‐Disclosure Agreement     |1 The store financial assessment identifies closures based on three primary filters, yielding 583 stores as a base for the preliminary go‐forward network To be closed To retain as preliminary go-forward Store count by closure status and metric, Store count 1 Assessment Filters Operating margin dollars Full year store sales Ÿ Retain stores that generate > $5M > $14M 15 132 sufficient operating cash under projected topline scenarios $4M to $5M 5 Ÿ Retain stores with strong absolute $12M to $14M 8 73 topline and growth trajectory, increasing cost leverage into the $3M to $4M 29 $10M to $12M 14 107 future Ÿ Retain stores with sufficient $2M to $3M 89 $8M to $10M 23 101 turnover relative to size given size is driver of both operating and capital $1M to $2M 2 273 expenditures $6M to $8M 31 99 $0 to $1M 242 187 $4M to $6M 34 71 < $0M < $4M 138 0 19 1 Dollar profitability shown for context but not used explicitly in store closure decisions. Closure thresholds based on % operating margin, total sakes, and space productivity NOTE: Reflects latest thinking on stores as of April 2020; exact number continues to evolve 36 Confidential – Subject to Non‐Disclosure Agreement |


2 eComm sales will rebound from the negative halo of store closures and reach double digit  growth rates as improvements to site, fulfillment, and merchandise assortment takes hold Total Increase $ millions Decrease +897 ‐11 ‐99 2,331 1,544 FY19 eComm Sales eComm Performance  Discontinued  Impact from  FY24 Outlook Improvements Merchandise Closed Stores 37 Confidential – Subject to Non‐Disclosure Agreement     |2 eComm sales will rebound from the negative halo of store closures and reach double digit growth rates as improvements to site, fulfillment, and merchandise assortment takes hold Total Increase $ millions Decrease +897 ‐11 ‐99 2,331 1,544 FY19 eComm Sales eComm Performance Discontinued Impact from FY24 Outlook Improvements Merchandise Closed Stores 37 Confidential – Subject to Non‐Disclosure Agreement |


2 eComm business has experienced historical growth and is poised to return to strong  momentum 1 eComm net sales , $ billions  eComm experienced  Conscious decision in  significant growth from  Topline is poised to regain growth as eComm  FY19 to reset to  FY14‐FY18 due to expansion  penetration and growth matches peers and  improve margin rate at  of marketplace and  digital capabilities are enhanced the expense of topline appliances +10.0% +7.9% 2.3 ‐4.1% 2.1 +8.7% 1.9 1.7 1.6 1.6 1.6 1.5 1.3 1.3 1.1 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 1 Go‐forward business (excludes appliances) 38 Confidential – Subject to Non‐Disclosure Agreement     |2 eComm business has experienced historical growth and is poised to return to strong momentum 1 eComm net sales , $ billions eComm experienced Conscious decision in significant growth from Topline is poised to regain growth as eComm FY19 to reset to FY14‐FY18 due to expansion penetration and growth matches peers and improve margin rate at of marketplace and digital capabilities are enhanced the expense of topline appliances +10.0% +7.9% 2.3 ‐4.1% 2.1 +8.7% 1.9 1.7 1.6 1.6 1.6 1.5 1.3 1.3 1.1 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 1 Go‐forward business (excludes appliances) 38 Confidential – Subject to Non‐Disclosure Agreement |


2 JCPenney eComm growth reflects acceleration relative to historical performance, and is  achievable when compared to peers eComm penetration eComm net sales growth FY19 % of enterprise sales FY16 – FY19 CAGR JCPenney eComm penetration 23% 17% • FY19: 14% • FY24: 26% ‐ achievable given this is in‐line  with peers current penetration 23% 12% 26% 11% JCPenney eComm net sales growth • FY19 – FY24 CAGR of 9% achievable given  28% 15% growth is less than what peers have  achieved over recent years 32% 14% 39 Confidential – Subject to Non‐Disclosure Agreement     |2 JCPenney eComm growth reflects acceleration relative to historical performance, and is achievable when compared to peers eComm penetration eComm net sales growth FY19 % of enterprise sales FY16 – FY19 CAGR JCPenney eComm penetration 23% 17% • FY19: 14% • FY24: 26% ‐ achievable given this is in‐line with peers current penetration 23% 12% 26% 11% JCPenney eComm net sales growth • FY19 – FY24 CAGR of 9% achievable given 28% 15% growth is less than what peers have achieved over recent years 32% 14% 39 Confidential – Subject to Non‐Disclosure Agreement |


3 Gross Margin ‐ Rate increases 60bps with pricing and promotion initiatives that are  partially offset by higher eComm penetration and fulfillment costs % of net sales Total Decrease Increase +0.3% ‐1.6% +0.3% +1.9% ‐0.3% 35.2% 34.6% FY19 Pricing &  Discontinued  Shrinkage  Channel Mix Distribution FY24 Promotion Merchandise Reduction 40 Confidential – Subject to Non‐Disclosure Agreement     |3 Gross Margin ‐ Rate increases 60bps with pricing and promotion initiatives that are partially offset by higher eComm penetration and fulfillment costs % of net sales Total Decrease Increase +0.3% ‐1.6% +0.3% +1.9% ‐0.3% 35.2% 34.6% FY19 Pricing & Discontinued Shrinkage Channel Mix Distribution FY24 Promotion Merchandise Reduction 40 Confidential – Subject to Non‐Disclosure Agreement |


3 Pricing and promotion is already driving margin gains and will continue  as we further optimize price strategy and markdowns Gross profit by channel BPS Improvement, FY18 to FY19 % of net sales • We have realized  FY18 FY19 FY24 tremendous potential  from markdown  42.0 opportunities and spend  38.4 37.9 36.6 36.7 in our selling margin from  34.8 FY18 to FY19 27.1 27.1 • Pricing and coupon  25.7 strategy shifts have  started to aid margin with meaningful  headroom remaining as  we continue to execute Stores eComm Total +180 +140 +190 41 Confidential – Subject to Non‐Disclosure Agreement     |3 Pricing and promotion is already driving margin gains and will continue as we further optimize price strategy and markdowns Gross profit by channel BPS Improvement, FY18 to FY19 % of net sales • We have realized FY18 FY19 FY24 tremendous potential from markdown 42.0 opportunities and spend 38.4 37.9 36.6 36.7 in our selling margin from 34.8 FY18 to FY19 27.1 27.1 • Pricing and coupon 25.7 strategy shifts have started to aid margin with meaningful headroom remaining as we continue to execute Stores eComm Total +180 +140 +190 41 Confidential – Subject to Non‐Disclosure Agreement |


3 Clearance management has contributed to margin improvement as clearance mix and  selling margin have improved Clearance volume as % of total FY18 & FY19, % of net sales Selling margin, % of net sales FY18 FY19 Clearance 17.8% ‐ 74 bps 17.1% ‐14.4% 0.4% 48.1% 48.9% Non‐clearance 82.9% 82.2% • Clearance has decreased as a portion of  net sales by ~70 bps from FY18 to FY19 • In parallel, margin on clearance items has  improved significantly FY18 FY19 1. Go‐forward business (excludes appliances) 42 Confidential – Subject to Non‐Disclosure Agreement     | SOURCE: JCP internal data and reporting3 Clearance management has contributed to margin improvement as clearance mix and selling margin have improved Clearance volume as % of total FY18 & FY19, % of net sales Selling margin, % of net sales FY18 FY19 Clearance 17.8% ‐ 74 bps 17.1% ‐14.4% 0.4% 48.1% 48.9% Non‐clearance 82.9% 82.2% • Clearance has decreased as a portion of net sales by ~70 bps from FY18 to FY19 • In parallel, margin on clearance items has improved significantly FY18 FY19 1. Go‐forward business (excludes appliances) 42 Confidential – Subject to Non‐Disclosure Agreement | SOURCE: JCP internal data and reporting


4 SG&A ‐ Closing stores and continuous improvement initiatives will drive  $1B reduction in SG&A $ millions Total 3,585 ‐467 Decrease 33.5% 242  Closing 1 Stores ‐98 ‐95 ‐115 28.3% ‐56 ‐111 ‐78 2,566 FY19 Closed Stores Stores Expenses Gross Advertising  Gross Advertising  Bonus/Equity  Administrative  Other Corp G&A FY24 (Volume) (Rate) & Benefits Expenses 1 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 43 Confidential – Subject to Non‐Disclosure Agreement     |4 SG&A ‐ Closing stores and continuous improvement initiatives will drive $1B reduction in SG&A $ millions Total 3,585 ‐467 Decrease 33.5% 242 Closing 1 Stores ‐98 ‐95 ‐115 28.3% ‐56 ‐111 ‐78 2,566 FY19 Closed Stores Stores Expenses Gross Advertising Gross Advertising Bonus/Equity Administrative Other Corp G&A FY24 (Volume) (Rate) & Benefits Expenses 1 Reflects latest thinking on stores as of April 2020; exact number continues to evolve 43 Confidential – Subject to Non‐Disclosure Agreement |


4 Cost reductions across major line items drive EBITDA (A) improvement of  ~500 bps by FY24 $M % net sales FY23 FY19 FY20 FY21 FY22 FY23 FY24 FY19 FY20 FY21 FY22 FY24 Total net sales 10,716  5,085  8,288  8,558  8,784  9,076  ‐‐‐ ‐ ‐ ‐ Enterprise GP 3,691  1,434  2,779  3,097  3,158  3,249  36.7% 30.1% 35.7% 38.5% 38.2%  37.9%  External gross margin (GAAP) 3,703  1,340  2,705  3,048  3,109  3,199  34.6%  26.4%  32.6%  35.6%  35.4%  35.2%  Store payroll 1088  485  787  783  773  771  10.2%  9.5%  9.5%  9.2%  8.8%  8.5%  Net advertising 599  318  440  380  385  389  5.6%  6.2%  5.3%  4.4%  4.4%  4.3%  lT expense 155  94  129  130  133  138  1.4%  1.9%  1.6%  1.5%  1.5%  1.5%  .com technology expense 40  46  48  40  41  43  0.4%  0.9%  0.6%  0.5%  0.5%  0.5%  Admin. (Total + Benefits) 548  425  429  386  389  392  5.1%  8.4%  5.2%  4.5%  4.4%  4.3%  Bonus 102  0  66  45  46  47  1.0%  0.0%  0.8%  0.5%  0.5%  0.5%  Occupancy, Utilities, and Facilities 642  510 462  492  492  492  6.0%  10.0%  5.6% 5.7%  5.6%  5.4%  Other 373  281 294  250  255  260  3.5%  5.5%  2.9%  2.9%  2.9%  2.9%  Total external SG&A 3,585  2,189  2,685  2,537  2,546  2,566  33.5%  43.0%  32.4%  29.6%  29.0%  28.3%  Depreciation 544  508  476  469  481  488  5.1%  10.0%  5.7%  5.5%  5.5%  5.4%  Operating profit (8) (1,612) (177) 337  380  447  (0.1%) (30.9%) (2.1%) 3.6%  4.0%  4.5%  EBITDA (A) 583 (638) 279  806  861  935  5.3%  (12.5%) 3.4%  9.4%  9.8%  10.3%  % of net sales 5.3%  (12.5%) 3.4%  9.4%  9.8%  10.3%  44 Confidential – Subject to Non‐Disclosure Agreement     |4 Cost reductions across major line items drive EBITDA (A) improvement of ~500 bps by FY24 $M % net sales FY23 FY19 FY20 FY21 FY22 FY23 FY24 FY19 FY20 FY21 FY22 FY24 Total net sales 10,716 5,085 8,288 8,558 8,784 9,076 ‐‐‐ ‐ ‐ ‐ Enterprise GP 3,691 1,434 2,779 3,097 3,158 3,249 36.7% 30.1% 35.7% 38.5% 38.2% 37.9% External gross margin (GAAP) 3,703 1,340 2,705 3,048 3,109 3,199 34.6% 26.4% 32.6% 35.6% 35.4% 35.2% Store payroll 1088 485 787 783 773 771 10.2% 9.5% 9.5% 9.2% 8.8% 8.5% Net advertising 599 318 440 380 385 389 5.6% 6.2% 5.3% 4.4% 4.4% 4.3% lT expense 155 94 129 130 133 138 1.4% 1.9% 1.6% 1.5% 1.5% 1.5% .com technology expense 40 46 48 40 41 43 0.4% 0.9% 0.6% 0.5% 0.5% 0.5% Admin. (Total + Benefits) 548 425 429 386 389 392 5.1% 8.4% 5.2% 4.5% 4.4% 4.3% Bonus 102 0 66 45 46 47 1.0% 0.0% 0.8% 0.5% 0.5% 0.5% Occupancy, Utilities, and Facilities 642 510 462 492 492 492 6.0% 10.0% 5.6% 5.7% 5.6% 5.4% Other 373 281 294 250 255 260 3.5% 5.5% 2.9% 2.9% 2.9% 2.9% Total external SG&A 3,585 2,189 2,685 2,537 2,546 2,566 33.5% 43.0% 32.4% 29.6% 29.0% 28.3% Depreciation 544 508 476 469 481 488 5.1% 10.0% 5.7% 5.5% 5.5% 5.4% Operating profit (8) (1,612) (177) 337 380 447 (0.1%) (30.9%) (2.1%) 3.6% 4.0% 4.5% EBITDA (A) 583 (638) 279 806 861 935 5.3% (12.5%) 3.4% 9.4% 9.8% 10.3% % of net sales 5.3% (12.5%) 3.4% 9.4% 9.8% 10.3% 44 Confidential – Subject to Non‐Disclosure Agreement |


4 EBITDA (A) rate improvement is driven by three key line items Stores payroll down ~150 bps to 8.5% of total net sales in FY24 as lower  A productivity stores closed and go‐forward store labor reduced Advertising down 120 bps to 4.4% of net sales by FY22 and leveraged further to  B 4.3% by FY24, with heavy channel mix shift to digital to support eComm growth Admin, benefits & bonus down 110 bps to 5.0% of net sales by FY22 with  C further leverage down to 4.8% by FY24 Largely driven by the above, the SG&A rate is down ~390 bps to be 29.6% of net sales by  FY22 with further leverage gains (‐65 bps per year) through FY24 45 Confidential – Subject to Non‐Disclosure Agreement     |4 EBITDA (A) rate improvement is driven by three key line items Stores payroll down ~150 bps to 8.5% of total net sales in FY24 as lower A productivity stores closed and go‐forward store labor reduced Advertising down 120 bps to 4.4% of net sales by FY22 and leveraged further to B 4.3% by FY24, with heavy channel mix shift to digital to support eComm growth Admin, benefits & bonus down 110 bps to 5.0% of net sales by FY22 with C further leverage down to 4.8% by FY24 Largely driven by the above, the SG&A rate is down ~390 bps to be 29.6% of net sales by FY22 with further leverage gains (‐65 bps per year) through FY24 45 Confidential – Subject to Non‐Disclosure Agreement |


Adjusted EBITDA Adjusted EBITDA to exceed $900M and reach 10% of net sales in FY24 as we return the business to topline growth and expand  operating  margin ($ in millions) FY19 FY20 FY21 FY22 FY23 FY24 LY EBITDA (A) $583  ($638) $279  $806  $861  Credit Income ($257) $64  $36  $3  $4  Gross Margin (Volume) ($1,946) $844  $88  $80  $103  Gross Margin (Rate) ($417) $521  $255  ($20) ($13) SG&A $1,396  ($496) $148  ($9) ($20) Gain/Loss on Asset Sales and Other $2  ($17) $0  $0  $0  TY EBITDA (A) $583  ($638) $279  $806  $861  $935  % of Net Sales  5.4% (12.5%) 3.4% 9.4% 9.8% 10.3% 46 Confidential – Subject to Non‐Disclosure Agreement     |Adjusted EBITDA Adjusted EBITDA to exceed $900M and reach 10% of net sales in FY24 as we return the business to topline growth and expand operating margin ($ in millions) FY19 FY20 FY21 FY22 FY23 FY24 LY EBITDA (A) $583 ($638) $279 $806 $861 Credit Income ($257) $64 $36 $3 $4 Gross Margin (Volume) ($1,946) $844 $88 $80 $103 Gross Margin (Rate) ($417) $521 $255 ($20) ($13) SG&A $1,396 ($496) $148 ($9) ($20) Gain/Loss on Asset Sales and Other $2 ($17) $0 $0 $0 TY EBITDA (A) $583 ($638) $279 $806 $861 $935 % of Net Sales 5.4% (12.5%) 3.4% 9.4% 9.8% 10.3% 46 Confidential – Subject to Non‐Disclosure Agreement |


Unlevered Free Cash Flow ($ in Millions) FY19 FY20 FY21 FY22 FY23 FY24 EBTIDA (A) $583 ($638) $279 $806 $861 $935 % of Net Sales 5.4%  (12.5%) 3.4%  9.4%  9.8%  10.3%  (+/‐) Chang e in Inventory 271 445 ‐49 ‐41 55 ‐1 (+/‐) Chang e in Payables ‐61 ‐156 17 14 ‐19 1 (+/‐) Chang e in Other NWC ‐25 ‐20 ‐20 ‐5 ‐5 ‐5 1 (+/‐) Change in Tax Income / (Expense) ‐9 ‐‐ ‐‐ ‐‐ ‐‐ ‐‐ (‐) CapEx ‐309 ‐73 ‐230 ‐240 ‐250 ‐250 (+) Asset Sale Proceeds 27 25 305 ‐‐ ‐‐ (+/‐) Other** ‐48 ‐182 ‐49 ‐‐ ‐‐ ‐‐ Unlevered Free Cash Flow $429 ($598) $253 $534 $642 $679 1. Assumes maintaining NOLs post bankruptcy emergence 2.  “Other” includes reorganization and restructuring cash costs Note:  CAPEX assumed at approximately 2.8% of sales (store refreshes, technology, supply chain) Note:  Asset sale proceeds assumed between lit and dark value of the appraisal 47 Confidential – Subject to Non‐Disclosure Agreement     |Unlevered Free Cash Flow ($ in Millions) FY19 FY20 FY21 FY22 FY23 FY24 EBTIDA (A) $583 ($638) $279 $806 $861 $935 % of Net Sales 5.4% (12.5%) 3.4% 9.4% 9.8% 10.3% (+/‐) Chang e in Inventory 271 445 ‐49 ‐41 55 ‐1 (+/‐) Chang e in Payables ‐61 ‐156 17 14 ‐19 1 (+/‐) Chang e in Other NWC ‐25 ‐20 ‐20 ‐5 ‐5 ‐5 1 (+/‐) Change in Tax Income / (Expense) ‐9 ‐‐ ‐‐ ‐‐ ‐‐ ‐‐ (‐) CapEx ‐309 ‐73 ‐230 ‐240 ‐250 ‐250 (+) Asset Sale Proceeds 27 25 305 ‐‐ ‐‐ (+/‐) Other** ‐48 ‐182 ‐49 ‐‐ ‐‐ ‐‐ Unlevered Free Cash Flow $429 ($598) $253 $534 $642 $679 1. Assumes maintaining NOLs post bankruptcy emergence 2. “Other” includes reorganization and restructuring cash costs Note: CAPEX assumed at approximately 2.8% of sales (store refreshes, technology, supply chain) Note: Asset sale proceeds assumed between lit and dark value of the appraisal 47 Confidential – Subject to Non‐Disclosure Agreement |


Letters of Credit as of April 4, 2020 Purpose Expiry Date Amount ($mm) Workers Comp June 12 $38.3 Workers Comp February 1 $47.9 Workers Comp May 13 $23.0 Merchandise October 31 $20.0 Merchandise  January 15, 2021 $10.0 Merchandise January 15, 2021 $7.5 Merchandise January 15, 2021 $7.5 Workers Comp May 14 $4.4 Utilities October 16, 2020 $0.8 General Liability Claims February 1 $0.7 Merchandise March 1, 2021 $0.8 Utilities February 3, 2021 $0.7 Utilities May 13 $0.1 Misc. April 6 $0.0 Surety Bond August 28, 2018 $51.5 Total $213.1 As of April 4, 2020, none of these standby letters of credit have been drawn. 48 Confidential – Subject to Non‐Disclosure Agreement     |Letters of Credit as of April 4, 2020 Purpose Expiry Date Amount ($mm) Workers Comp June 12 $38.3 Workers Comp February 1 $47.9 Workers Comp May 13 $23.0 Merchandise October 31 $20.0 Merchandise January 15, 2021 $10.0 Merchandise January 15, 2021 $7.5 Merchandise January 15, 2021 $7.5 Workers Comp May 14 $4.4 Utilities October 16, 2020 $0.8 General Liability Claims February 1 $0.7 Merchandise March 1, 2021 $0.8 Utilities February 3, 2021 $0.7 Utilities May 13 $0.1 Misc. April 6 $0.0 Surety Bond August 28, 2018 $51.5 Total $213.1 As of April 4, 2020, none of these standby letters of credit have been drawn. 48 Confidential – Subject to Non‐Disclosure Agreement |


JCPenney Co., Inc. Cash Flow Forecast US$ Millions 2020-Q1 FEB FEB FEB FEB FEB MAR MAR MAR MAR 8-Feb 15-Feb 22-Feb 29-Feb 7-Mar 14-Mar 21-Mar 28-Mar 4-Apr 1 2345 6789 (1) SALES 132 163 150 147 168 134 50 19 19 TOTAL COLLECTIONS 134 163 169 162 172 176 95 33 42 DISBURSEMENTS Total Operating Disbursements (183) (193) (235) (198) (159) (194) (270) (147) (140) Net Cash Flow (49) (34) (67) (62) (9) (19) 1,056 (128) (112)JCPenney Co., Inc. Cash Flow Forecast US$ Millions 2020-Q1 FEB FEB FEB FEB FEB MAR MAR MAR MAR 8-Feb 15-Feb 22-Feb 29-Feb 7-Mar 14-Mar 21-Mar 28-Mar 4-Apr 1 2345 6789 (1) SALES 132 163 150 147 168 134 50 19 19 TOTAL COLLECTIONS 134 163 169 162 172 176 95 33 42 DISBURSEMENTS Total Operating Disbursements (183) (193) (235) (198) (159) (194) (270) (147) (140) Net Cash Flow (49) (34) (67) (62) (9) (19) 1,056 (128) (112)


J.C. Penney Company, Inc. Weekly Cash Flow As of May 15, 2020 (US $ MMs) Actual / Forecast F F F F F F F F F F F F F F F F F F F F Fiscal Month May May May Jun Jun Jun Jun Jul Jul Jul Jul Aug Aug Aug Aug Aug Sep Sep Sep Sep Year FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 Week Ending 23-May 30-May 6-Jun 13-Jun 20-Jun 27-Jun 4-Jul 11-Jul 18-Jul 25-Jul 1-Aug 8-Aug 15-Aug 22-Aug 29-Aug 5-Sep 12-Sep 19-Sep 26-Sep 3-Oct Net Sales $ 35 $ 41 $ 45 $ 48 $ 44 $ 47 $ 64 $ 91 $ 87 $ 100 $ 111 $ 177 $ 164 $ 138 $ 119 $ 124 $ 112 $ 104 $ 105 $ 97 Collections & Disbursements Cash Receipts 1 Sales Receipts $ 36 $ 41 $ 47 $ 50 $ 48 $ 49 $ 63 $ 87 $ 93 $ 102 $ 114 $ 166 $ 178 $ 155 $ 133 $ 130 $ 123 $ 113 $ 110 $ 106 2 Other Receipts 3 3 3 3 3 4 3 3 3 22 3 4 4 4 4 4 4 4 22 4 Total Collections 39 44 50 53 51 53 66 90 96 124 117 170 182 159 137 134 127 117 132 110 Operating Disbursements 3 Domestic Merchandise Vendor (21) ( 18) (17) (34) (24) ( 18) (21) (55) (35) ( 28) ( 38) ( 73) (47) (44) (36) (46) ( 15) ( 73) (66) ( 63) 4 Import Merchandise Vendor ( 6) ( 5) ( 5) ( 10) ( 7) ( 5) ( 6) ( 22) ( 14) (11) (16) ( 28) ( 18) ( 17) ( 14) ( 17) ( 26) ( 24) (21) (27) 5 Sales Tax - ( 7) - - - (11) - - - ( 12) - - - - (23) - - - ( 42) - 6 Freight, Duty, and Broker (13) ( 2) ( 2) ( 4) ( 3) ( 7) ( 2) ( 7) ( 4) ( 12) ( 5) ( 9) ( 6) ( 5) ( 18) ( 5) ( 9) ( 8) ( 20) ( 9) 7 Payroll and Benefits ( 6) (26) ( 8) (24) ( 7) (24) ( 6) ( 33) ( 10) (23) (26) ( 24) (32) (47) (35) (25) ( 35) ( 23) ( 38) ( 23) 8 Occupancy ( 8) ( 8) ( 27) (18) ( 8) ( 5) ( 20) ( 25) ( 8) ( 3) (24) ( 8) (22) ( 4) ( 6) ( 22) ( 19) ( 8) ( 4) ( 21) 9 Non-Marketing Operating (NFR) ( 9) ( 8) ( 7) (16) ( 10) ( 7) ( 7) ( 11) (13) (10) ( 17) ( 16) (21) (11) ( 12) ( 30) ( 10) ( 14) ( 19) ( 12) 10 Marketing ( 6) (11) ( 6) ( 9) ( 9) ( 9) (10) ( 13) (13) (13) ( 13) ( 9) ( 9) ( 8) ( 8) ( 8) ( 7) ( 8) ( 8) ( 7) 11 Other ( 3) ( 3) ( 3) ( 3) ( 3) ( 3) ( 7) ( 3) ( 5) ( 3) ( 6) ( 3) ( 7) ( 3) ( 8) ( 3) ( 9) ( 3) ( 8) ( 31) Total Operating Disbursements (71) (88) (74) (116) (70) (88) (79) (169) (102) (114) (143) (170) (161) (139) (160) (155) (129) (160) (226) (193) Non-Operating Disbursements 12 Debt Service and Fees ( 1) ( 1) ( 7) ( 1) ( 1) ( 1) (12) (10) ( 1) ( 1) ( 1) ( 22) ( 19) ( 1) ( 1) (15) ( 1) ( 1) ( 4) (15) 13 Restructuring Professionals - - - ( 1) - - - ( 1) (13) - ( 1) ( 1) (11) - - - ( 1) ( 12) ( 6) - 14 Other Non-Operating ( 1) ( 1) ( 1) ( 2) ( 2) ( 2) ( 2) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) Total Non-Operating Disbursements (1) (1) (7) (4) (3) (3) (14) (13) (15) (2) (3) (25) (30) (2) (2) (16) (2) (14) (12) (17) Net Cash Flow $ (34) $ (45) $ (32) $ (67) $ (21) $ (38) $ (27) $ (91) $ (21) $ 8 $ (28) $ (25) $ (9) $ 19 $ (25) $ (38) $ (5) $ (57) $ (105) $ (100) Liquidity Book Cash Position 15 Book Cash - Beginning 475 441 396 589 522 501 463 435 344 548 556 527 503 494 512 488 450 445 388 283 16 Plus: Net Cash Flow ( 34) ( 45) ( 32) (67) (21) (38) (27) ( 91) ( 21) 8 ( 28) ( 25) ( 9) 19 (25) ( 38) ( 5) (57) (105) (100) 17 Plus: Revolver Draw/(Paydown) - - - - - - - - - - - - - - - - - - - - 18 Plus: DIP Draw/(Paydown) - - 225 - - - - - 225 - - - - - - - - - - - Book Cash - Ending 441 396 589 522 501 463 435 344 548 556 527 503 494 512 488 450 445 388 283 183 19 Prof Fee Carevout Escrow - - (16) (16) ( 16) (16) (38) (37) (27) (27) ( 27) ( 40) ( 31) ( 31) ( 31) (47) (47) ( 37) ( 30) (17) 20 Posted ABL Cash Collateral / Cash Collateral L/C - - - - - - - - - - - - - - - (17) - - - - Unrestricted Book Cash - Ending $ 441 $ 396 $ 573 $ 506 $ 485 $ 447 $ 398 $ 307 $ 521 $ 529 $ 500 $ 463 $ 462 $ 481 $ 456 $ 386 $ 398 $ 351 $ 252 $ 166 Intra-Month Minimum 396 396 396 398 398 398 398 307 307 307 307 386 386 386 386 386 166 166 166 166 Pre-Petition ABL Borrowing Base and Availability 21 Effective Borrowing Base 1,620 1,627 1,629 1,623 1,637 1,640 1,638 1,635 1,655 1,644 1,622 1,606 1,606 1,560 1,522 1,488 1,593 1,611 1,628 1,636 22 Less: Outstanding ABL Draws (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) 23 Less: Letters of Credit (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) Subtotal 227 234 236 229 243 247 245 242 261 251 228 212 212 166 128 95 200 217 234 242 24 Less: Pre-Petition Minimum Excess Availability (122) (122) (122) (122) (123) (123) (123) (123) (124) (123) (122) (120) (120) (117) (114) (112) (120) (121) (122) (123) 25 Plus: Posted ABL Cash Collateral - - - - - - - - - - - - - - - 17 - - - - Total 105 112 113 108 121 124 122 119 137 127 107 92 92 49 14 0 80 96 112 119 J.C. Penney Company, Inc. Weekly Cash Flow As of May 15, 2020 (US $ MMs) Actual / Forecast F F F F F F F F F F F F F F F F F F F F Fiscal Month May May May Jun Jun Jun Jun Jul Jul Jul Jul Aug Aug Aug Aug Aug Sep Sep Sep Sep Year FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 FY20 Week Ending 23-May 30-May 6-Jun 13-Jun 20-Jun 27-Jun 4-Jul 11-Jul 18-Jul 25-Jul 1-Aug 8-Aug 15-Aug 22-Aug 29-Aug 5-Sep 12-Sep 19-Sep 26-Sep 3-Oct Net Sales $ 35 $ 41 $ 45 $ 48 $ 44 $ 47 $ 64 $ 91 $ 87 $ 100 $ 111 $ 177 $ 164 $ 138 $ 119 $ 124 $ 112 $ 104 $ 105 $ 97 Collections & Disbursements Cash Receipts 1 Sales Receipts $ 36 $ 41 $ 47 $ 50 $ 48 $ 49 $ 63 $ 87 $ 93 $ 102 $ 114 $ 166 $ 178 $ 155 $ 133 $ 130 $ 123 $ 113 $ 110 $ 106 2 Other Receipts 3 3 3 3 3 4 3 3 3 22 3 4 4 4 4 4 4 4 22 4 Total Collections 39 44 50 53 51 53 66 90 96 124 117 170 182 159 137 134 127 117 132 110 Operating Disbursements 3 Domestic Merchandise Vendor (21) ( 18) (17) (34) (24) ( 18) (21) (55) (35) ( 28) ( 38) ( 73) (47) (44) (36) (46) ( 15) ( 73) (66) ( 63) 4 Import Merchandise Vendor ( 6) ( 5) ( 5) ( 10) ( 7) ( 5) ( 6) ( 22) ( 14) (11) (16) ( 28) ( 18) ( 17) ( 14) ( 17) ( 26) ( 24) (21) (27) 5 Sales Tax - ( 7) - - - (11) - - - ( 12) - - - - (23) - - - ( 42) - 6 Freight, Duty, and Broker (13) ( 2) ( 2) ( 4) ( 3) ( 7) ( 2) ( 7) ( 4) ( 12) ( 5) ( 9) ( 6) ( 5) ( 18) ( 5) ( 9) ( 8) ( 20) ( 9) 7 Payroll and Benefits ( 6) (26) ( 8) (24) ( 7) (24) ( 6) ( 33) ( 10) (23) (26) ( 24) (32) (47) (35) (25) ( 35) ( 23) ( 38) ( 23) 8 Occupancy ( 8) ( 8) ( 27) (18) ( 8) ( 5) ( 20) ( 25) ( 8) ( 3) (24) ( 8) (22) ( 4) ( 6) ( 22) ( 19) ( 8) ( 4) ( 21) 9 Non-Marketing Operating (NFR) ( 9) ( 8) ( 7) (16) ( 10) ( 7) ( 7) ( 11) (13) (10) ( 17) ( 16) (21) (11) ( 12) ( 30) ( 10) ( 14) ( 19) ( 12) 10 Marketing ( 6) (11) ( 6) ( 9) ( 9) ( 9) (10) ( 13) (13) (13) ( 13) ( 9) ( 9) ( 8) ( 8) ( 8) ( 7) ( 8) ( 8) ( 7) 11 Other ( 3) ( 3) ( 3) ( 3) ( 3) ( 3) ( 7) ( 3) ( 5) ( 3) ( 6) ( 3) ( 7) ( 3) ( 8) ( 3) ( 9) ( 3) ( 8) ( 31) Total Operating Disbursements (71) (88) (74) (116) (70) (88) (79) (169) (102) (114) (143) (170) (161) (139) (160) (155) (129) (160) (226) (193) Non-Operating Disbursements 12 Debt Service and Fees ( 1) ( 1) ( 7) ( 1) ( 1) ( 1) (12) (10) ( 1) ( 1) ( 1) ( 22) ( 19) ( 1) ( 1) (15) ( 1) ( 1) ( 4) (15) 13 Restructuring Professionals - - - ( 1) - - - ( 1) (13) - ( 1) ( 1) (11) - - - ( 1) ( 12) ( 6) - 14 Other Non-Operating ( 1) ( 1) ( 1) ( 2) ( 2) ( 2) ( 2) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) ( 1) Total Non-Operating Disbursements (1) (1) (7) (4) (3) (3) (14) (13) (15) (2) (3) (25) (30) (2) (2) (16) (2) (14) (12) (17) Net Cash Flow $ (34) $ (45) $ (32) $ (67) $ (21) $ (38) $ (27) $ (91) $ (21) $ 8 $ (28) $ (25) $ (9) $ 19 $ (25) $ (38) $ (5) $ (57) $ (105) $ (100) Liquidity Book Cash Position 15 Book Cash - Beginning 475 441 396 589 522 501 463 435 344 548 556 527 503 494 512 488 450 445 388 283 16 Plus: Net Cash Flow ( 34) ( 45) ( 32) (67) (21) (38) (27) ( 91) ( 21) 8 ( 28) ( 25) ( 9) 19 (25) ( 38) ( 5) (57) (105) (100) 17 Plus: Revolver Draw/(Paydown) - - - - - - - - - - - - - - - - - - - - 18 Plus: DIP Draw/(Paydown) - - 225 - - - - - 225 - - - - - - - - - - - Book Cash - Ending 441 396 589 522 501 463 435 344 548 556 527 503 494 512 488 450 445 388 283 183 19 Prof Fee Carevout Escrow - - (16) (16) ( 16) (16) (38) (37) (27) (27) ( 27) ( 40) ( 31) ( 31) ( 31) (47) (47) ( 37) ( 30) (17) 20 Posted ABL Cash Collateral / Cash Collateral L/C - - - - - - - - - - - - - - - (17) - - - - Unrestricted Book Cash - Ending $ 441 $ 396 $ 573 $ 506 $ 485 $ 447 $ 398 $ 307 $ 521 $ 529 $ 500 $ 463 $ 462 $ 481 $ 456 $ 386 $ 398 $ 351 $ 252 $ 166 Intra-Month Minimum 396 396 396 398 398 398 398 307 307 307 307 386 386 386 386 386 166 166 166 166 Pre-Petition ABL Borrowing Base and Availability 21 Effective Borrowing Base 1,620 1,627 1,629 1,623 1,637 1,640 1,638 1,635 1,655 1,644 1,622 1,606 1,606 1,560 1,522 1,488 1,593 1,611 1,628 1,636 22 Less: Outstanding ABL Draws (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) (1,180) 23 Less: Letters of Credit (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) (213) Subtotal 227 234 236 229 243 247 245 242 261 251 228 212 212 166 128 95 200 217 234 242 24 Less: Pre-Petition Minimum Excess Availability (122) (122) (122) (122) (123) (123) (123) (123) (124) (123) (122) (120) (120) (117) (114) (112) (120) (121) (122) (123) 25 Plus: Posted ABL Cash Collateral - - - - - - - - - - - - - - - 17 - - - - Total 105 112 113 108 121 124 122 119 137 127 107 92 92 49 14 0 80 96 112 119


As of May 13, 2020* Monthly forecast (October 2020 – January 2021) J.C. Penney Company, Inc. 4 5 4 4 Monthly Cash Flow Oct Nov Dec Jan (US $ MMs) FY20 FY20 FY20 FY20 31-Oct 5-Dec 2-Jan 30-Jan Sales $429 $1,034 $882 $338 Collections & Disbursements Total Collections $467 $1,063 $998 $420 Total Operating Disbursements ($623) ($654) ($493) ($468) Total Non-operating Disbursements ($64) ($5) ($5) ($14) Borrowing Base Credit Card Receivables $26 $109 $62 $22 Eligible Inventory $2,030 $1,861 $1,399 $1,359 * The above forecast does not reflect critical information and assumptions subsequent to May 13, 2020, including those related to the Company’s newly expected DIP facility, as described in the Company's commitment letter with certain lenders, dated May 15, 2020, and associated cash payments, and therefore should not be relied upon. Deutscank Investment Bank 81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGq q q qz z z zk k k kS S S SD D D DM M M MpD pD pD pDAs of May 13, 2020* Monthly forecast (October 2020 – January 2021) J.C. Penney Company, Inc. 4 5 4 4 Monthly Cash Flow Oct Nov Dec Jan (US $ MMs) FY20 FY20 FY20 FY20 31-Oct 5-Dec 2-Jan 30-Jan Sales $429 $1,034 $882 $338 Collections & Disbursements Total Collections $467 $1,063 $998 $420 Total Operating Disbursements ($623) ($654) ($493) ($468) Total Non-operating Disbursements ($64) ($5) ($5) ($14) Borrowing Base Credit Card Receivables $26 $109 $62 $22 Eligible Inventory $2,030 $1,861 $1,399 $1,359 * The above forecast does not reflect critical information and assumptions subsequent to May 13, 2020, including those related to the Company’s newly expected DIP facility, as described in the Company's commitment letter with certain lenders, dated May 15, 2020, and associated cash payments, and therefore should not be relied upon. Deutscank Investment Bank 81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGq q q qz z z zk k k kS S S SD D D DM M M MpD pD pD pD


HIGHLY CONFIDENTIAL J.C. Penney Company, Inc. Weekly Cash Flow (US $ MMs) Fiscal Month Apr Apr Apr Apr Fiscal Week 10 11 12 13 Year FY20 FY20 FY20 FY20 Week Ending 11-Apr 18-Apr 25-Apr 2-May Net Sales $ 23 $ 33 $ 36 $ 26 Collections & Disbursements Total Collections 24 31 31 27 Total Operating Disbursements (71) (70) (65) (89) Total Non-Operating Disbursements (3) (0) (0) (9) Net Cash Flow $ (50) $ (39) $ (34) $ (71) 1 of 1 # ConfidentialHIGHLY CONFIDENTIAL J.C. Penney Company, Inc. Weekly Cash Flow (US $ MMs) Fiscal Month Apr Apr Apr Apr Fiscal Week 10 11 12 13 Year FY20 FY20 FY20 FY20 Week Ending 11-Apr 18-Apr 25-Apr 2-May Net Sales $ 23 $ 33 $ 36 $ 26 Collections & Disbursements Total Collections 24 31 31 27 Total Operating Disbursements (71) (70) (65) (89) Total Non-Operating Disbursements (3) (0) (0) (9) Net Cash Flow $ (50) $ (39) $ (34) $ (71) 1 of 1 # Confidential


HIGHLY CONFIDENTIAL J.C. Penney Company, Inc. Borrowing Base Roll Forward (US $ MMs) Fiscal Month Apr Apr Fiscal Week 10 13 Year FY20 FY20 Week Ending 11-Apr 2-May Borrowing Base Credit Card Receivables $ 4 $ 15 Eligible External Inventory 2,061 2,052 Total Reserves (153) (153) # Confidential 1 of 1HIGHLY CONFIDENTIAL J.C. Penney Company, Inc. Borrowing Base Roll Forward (US $ MMs) Fiscal Month Apr Apr Fiscal Week 10 13 Year FY20 FY20 Week Ending 11-Apr 2-May Borrowing Base Credit Card Receivables $ 4 $ 15 Eligible External Inventory 2,061 2,052 Total Reserves (153) (153) # Confidential 1 of 1


JCPenney Co., Inc. US$ Millions 2020-Q1 8-Feb 15-Feb 22-Feb 29-Feb 7-Mar 14-Mar 21-Mar 28-Mar 4-Apr Total Payroll & Benefits (32) (58) (33) (45) (35) (38) (107) (40) (31)JCPenney Co., Inc. US$ Millions 2020-Q1 8-Feb 15-Feb 22-Feb 29-Feb 7-Mar 14-Mar 21-Mar 28-Mar 4-Apr Total Payroll & Benefits (32) (58) (33) (45) (35) (38) (107) (40) (31)


JCPenney Co. Inc. PRO-FORMA BORROWING BASE ($ in millions) FY 2020 Feb Available Inventory $1,850 Available Cc Receivables 35 Total Reserves (158) Borrowing Base 1,727 Revolving Commitment 2,350 Lower of Borrowing Base or Revolving Commitment 1,727 Minimum excess availability - Bank Borrowings 0 Letters of Credit (204) Availability 1,523JCPenney Co. Inc. PRO-FORMA BORROWING BASE ($ in millions) FY 2020 Feb Available Inventory $1,850 Available Cc Receivables 35 Total Reserves (158) Borrowing Base 1,727 Revolving Commitment 2,350 Lower of Borrowing Base or Revolving Commitment 1,727 Minimum excess availability - Bank Borrowings 0 Letters of Credit (204) Availability 1,523


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD FY 2018 Sales by Store # of stores >=30mm $225 5 29-30mm $59 2 28-29mm $57 2 27-28mm $111 4 26-27mm $159 6 25-26mm $230 9 24-25mm $97 4 23-24mm $141 6 22-23mm $247 11 21-22mm $257 12 20-21mm $448 22 19-20mm $507 26 18-19mm $351 19 17-18mm $456 26 16-17mm $509 31 15-16mm $514 33 14-15mm $751 52 13-14mm $593 44 12-13mm $662 53 11-12mm $623 54 10-11mm $589 56 9-10mm $388 41 8-9mm $434 51 7-8mm $413 55 6-7mm $365 56 5-6mm $143 26 4-5mm $194 44 3-4mm $248 71 2-3mm $66 24 1-2mm $0 0 >0 -1mm $0 1 <0 $0 0 - 100 200 300 400 500 600 700 800 Deutsche Bank Aggregate Store Group FY 2018 Sales ($ in mm) Investment Bank Note: Sales includes Merchandise and Service Sales. Stores Grouped by FY 2018 Sales81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD FY 2018 Sales by Store # of stores >=30mm $225 5 29-30mm $59 2 28-29mm $57 2 27-28mm $111 4 26-27mm $159 6 25-26mm $230 9 24-25mm $97 4 23-24mm $141 6 22-23mm $247 11 21-22mm $257 12 20-21mm $448 22 19-20mm $507 26 18-19mm $351 19 17-18mm $456 26 16-17mm $509 31 15-16mm $514 33 14-15mm $751 52 13-14mm $593 44 12-13mm $662 53 11-12mm $623 54 10-11mm $589 56 9-10mm $388 41 8-9mm $434 51 7-8mm $413 55 6-7mm $365 56 5-6mm $143 26 4-5mm $194 44 3-4mm $248 71 2-3mm $66 24 1-2mm $0 0 >0 -1mm $0 1 <0 $0 0 - 100 200 300 400 500 600 700 800 Deutsche Bank Aggregate Store Group FY 2018 Sales ($ in mm) Investment Bank Note: Sales includes Merchandise and Service Sales. Stores Grouped by FY 2018 Sales


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD FY 2019 Sales by Store # of stores >=30mm 5 $202 0 29-30mm $0 28-29mm 0 $0 2 27-28mm $55 26-27mm $79 3 25-26mm 2 $51 24-25mm $147 6 23-24mm 4 $94 22-23mm $158 7 21-22mm $193 9 20-21mm 12 $245 19-20mm $310 16 18-19mm 16 $295 17-18mm $562 32 16-17mm $348 21 15-16mm $385 25 14-15mm $565 39 13-14mm $553 41 12-13mm $776 62 11-12mm $612 53 10-11mm $632 60 9-10mm $538 56 8-9mm $485 57 7-8mm $476 64 6-7mm $355 55 5-6mm $267 48 4-5mm $169 38 3-4mm $251 72 2-3mm $109 40 1-2mm $0 0 >0 -1mm $0 1 <0 $0 0 - 100 200 300 400 500 600 700 800 900 Aggregate Store Group FY 2019 Sales ($ in mm) Deutsche Bank Investment Bank Note: Sales includes Merchandise and Service Sales. Stores Grouped by FY 2019 Sales81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD FY 2019 Sales by Store # of stores >=30mm 5 $202 0 29-30mm $0 28-29mm 0 $0 2 27-28mm $55 26-27mm $79 3 25-26mm 2 $51 24-25mm $147 6 23-24mm 4 $94 22-23mm $158 7 21-22mm $193 9 20-21mm 12 $245 19-20mm $310 16 18-19mm 16 $295 17-18mm $562 32 16-17mm $348 21 15-16mm $385 25 14-15mm $565 39 13-14mm $553 41 12-13mm $776 62 11-12mm $612 53 10-11mm $632 60 9-10mm $538 56 8-9mm $485 57 7-8mm $476 64 6-7mm $355 55 5-6mm $267 48 4-5mm $169 38 3-4mm $251 72 2-3mm $109 40 1-2mm $0 0 >0 -1mm $0 1 <0 $0 0 - 100 200 300 400 500 600 700 800 900 Aggregate Store Group FY 2019 Sales ($ in mm) Deutsche Bank Investment Bank Note: Sales includes Merchandise and Service Sales. Stores Grouped by FY 2019 Sales


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD (1) FY 2018 4‐Wall Operating Profit by Store # of stores 2 >=7mm $21 3 6-7mm $20 10 5-6mm $53 33 4-5mm $145 80 3-4mm $274 180 2-3mm $437 304 1-2mm $457 >0 -1mm $143 228 <0 ($14) 6 (50) 50 150 250 350 450 550 Aggregate Store Group FY 2018 4-Wall Operating Profit ($ in mm) (1) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. Deutsche Bank costs. Investment Bank costs. Stores Grouped by FY 2018 4-Wall Operating Profit81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD (1) FY 2018 4‐Wall Operating Profit by Store # of stores 2 >=7mm $21 3 6-7mm $20 10 5-6mm $53 33 4-5mm $145 80 3-4mm $274 180 2-3mm $437 304 1-2mm $457 >0 -1mm $143 228 <0 ($14) 6 (50) 50 150 250 350 450 550 Aggregate Store Group FY 2018 4-Wall Operating Profit ($ in mm) (1) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. Deutsche Bank costs. Investment Bank costs. Stores Grouped by FY 2018 4-Wall Operating Profit


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD (1) FY 2019 4‐Wall Operating Profit by Store # of stores 7-8mm $0 0 6-7mm $13 2 5-6mm $10 2 4-5mm $63 14 3-4mm $183 53 2-3mm $295 125 1-2mm $423 292 >0 -1mm $194 347 <0 ($16) 11 (50) 50 150 250 350 450 Aggregate Store Group FY 2019 4-Wall Operating Profit ($ in mm) Deutsche Bank (1) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. Investment Bank Stores Grouped by FY 2019 4-Wall Operating Profit81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD (1) FY 2019 4‐Wall Operating Profit by Store # of stores 7-8mm $0 0 6-7mm $13 2 5-6mm $10 2 4-5mm $63 14 3-4mm $183 53 2-3mm $295 125 1-2mm $423 292 >0 -1mm $194 347 <0 ($16) 11 (50) 50 150 250 350 450 Aggregate Store Group FY 2019 4-Wall Operating Profit ($ in mm) Deutsche Bank (1) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. Investment Bank Stores Grouped by FY 2019 4-Wall Operating Profit


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD (1) FY 2018 4‐Wall EBITDA by Store # of stores >=7mm $12 1 6-7mm 1 $7 5-6mm $11 2 4-5mm $70 16 3-4mm $152 45 2-3mm $283 116 1-2mm $478 329 >0 -1mm $195 324 <0 ($17) 12 (50) 50 150 250 350 450 550 Aggregate Store Group FY 2018 4-Wall EBITDA ($ in mm) Deutsche Bank (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 1 Investment Bank Stores Grouped by FY 2018 4-Wall EBITDA81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD (1) FY 2018 4‐Wall EBITDA by Store # of stores >=7mm $12 1 6-7mm 1 $7 5-6mm $11 2 4-5mm $70 16 3-4mm $152 45 2-3mm $283 116 1-2mm $478 329 >0 -1mm $195 324 <0 ($17) 12 (50) 50 150 250 350 450 550 Aggregate Store Group FY 2018 4-Wall EBITDA ($ in mm) Deutsche Bank (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 1 Investment Bank Stores Grouped by FY 2018 4-Wall EBITDA


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD (1) FY 2019 4‐Wall EBITDA by Store # of stores 1 8-9mm $9 2 7-8mm $15 6-7mm 4 $26 5-6mm $61 11 4-5mm $165 37 3-4mm $265 77 2-3mm $435 177 1-2mm $436 293 >0 -1mm $159 239 <0 ($14) 5 (50) 50 150 250 350 450 550 Aggregate Store Group FY 2019 4-Wall EBITDA ($ in mm) (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above Deutsche Bank reflect the Company’s in-progress analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. 2 Investment Bank Stores Grouped by FY 2019 4-Wall EBITDA81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD (1) FY 2019 4‐Wall EBITDA by Store # of stores 1 8-9mm $9 2 7-8mm $15 6-7mm 4 $26 5-6mm $61 11 4-5mm $165 37 3-4mm $265 77 2-3mm $435 177 1-2mm $436 293 >0 -1mm $159 239 <0 ($14) 5 (50) 50 150 250 350 450 550 Aggregate Store Group FY 2019 4-Wall EBITDA ($ in mm) (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above Deutsche Bank reflect the Company’s in-progress analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. 2 Investment Bank Stores Grouped by FY 2019 4-Wall EBITDA


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD (1) Store Closure Summary 2019 4-Wall (3) 2019 4-Wall Operating profit (2) Proposed closure status Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) Open – Owned 228 30 $3,055 $599 $468 Closed – Owned 49 7 432 48 29 Open – Ground Leased 90 11 1,222 218 165 Closed – Ground Leased 19 2 177 17 10 Open – Leased 286 29 3,012 567 436 Closed – Leased 174 14 1,016 109 57 Total 846 93 $8,914 $1,558 $1,165 (1) Reflects latest thinking on stores as of April 2020, exact number continues to evolve. Deutsche Bank (2) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in-progress 3 Investment Bank analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. (3) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs.81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD (1) Store Closure Summary 2019 4-Wall (3) 2019 4-Wall Operating profit (2) Proposed closure status Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) Open – Owned 228 30 $3,055 $599 $468 Closed – Owned 49 7 432 48 29 Open – Ground Leased 90 11 1,222 218 165 Closed – Ground Leased 19 2 177 17 10 Open – Leased 286 29 3,012 567 436 Closed – Leased 174 14 1,016 109 57 Total 846 93 $8,914 $1,558 $1,165 (1) Reflects latest thinking on stores as of April 2020, exact number continues to evolve. Deutsche Bank (2) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in-progress 3 Investment Bank analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. (3) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs.


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD Lease Term Remaining 2019 4-Wall (2) Operating Lease 2019 4-Wall Operating profit (1) Term Remaining Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) >= 50 years 12 1 $126 $20 $15 >= 30 years <50 years 47 6 532 81 57 >=10 years <30 years 350 33 3,079 523 386 < 10 Years 51 3 291 51 34 Total 460 43 $4,028 $675 $492 2019 4-Wall (2) Ground Lease 2019 4-Wall Operating profit (1) Term Remaining Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) >= 50 years 46 5 $594 $100 $75 >= 30 years <50 years 30 4 365 60 45 >=10 years <30 years 32 5 431 74 54 < 10 Years 1 0 10 2 1 Total 109 14 $1,399 $235 $175 Deutsche Bank (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in-progress 4 analysis as of InA vest pril 30, ment2020, Bankand therefore, the above 4-wall EBITDA values should not be relied upon. (2) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs.81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD Lease Term Remaining 2019 4-Wall (2) Operating Lease 2019 4-Wall Operating profit (1) Term Remaining Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) >= 50 years 12 1 $126 $20 $15 >= 30 years <50 years 47 6 532 81 57 >=10 years <30 years 350 33 3,079 523 386 < 10 Years 51 3 291 51 34 Total 460 43 $4,028 $675 $492 2019 4-Wall (2) Ground Lease 2019 4-Wall Operating profit (1) Term Remaining Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) >= 50 years 46 5 $594 $100 $75 >= 30 years <50 years 30 4 365 60 45 >=10 years <30 years 32 5 431 74 54 < 10 Years 1 0 10 2 1 Total 109 14 $1,399 $235 $175 Deutsche Bank (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in-progress 4 analysis as of InA vest pril 30, ment2020, Bankand therefore, the above 4-wall EBITDA values should not be relied upon. (2) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs.


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD FY 2019 Rent Expense 2019 4-Wall (2) Operating Lease 2019 4-Wall Operating profit (1) Rent expense PSF Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) Up to $2.00 PSF 64 9 $715 $120 $89 >$2.00, <$3,00 PSF 83 9 860 154 116 >$3.00, <$4.00 PSF 94 10 925 163 125 >=$4.00 PSF 80 8 882 115 78 Total 321 36 $3,382 $551 $407 2019 4-Wall (2) Ground Lease 2019 4-Wall Operating profit (1) Rent expense PSF Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) Up to $2.00 PSF 60 9 $807 $139 $103 >$2.00, <$3,00 PSF 15 2 218 43 34 >$3.00, <$4.00 PSF 20 2 209 34 26 >=$4.00 PSF 14 1 164 18 13 Total 109 14 $1,399 $235 $175 Note: From Third Party Advisor August 2019 analysis. This only includes rent expense from the 430 operating leased and ground leased properties that the Third Party Advisor included in their analysis. Deutsche Bank (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in-progress 5 Investment Bank analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. (2) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs.81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD FY 2019 Rent Expense 2019 4-Wall (2) Operating Lease 2019 4-Wall Operating profit (1) Rent expense PSF Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) Up to $2.00 PSF 64 9 $715 $120 $89 >$2.00, <$3,00 PSF 83 9 860 154 116 >$3.00, <$4.00 PSF 94 10 925 163 125 >=$4.00 PSF 80 8 882 115 78 Total 321 36 $3,382 $551 $407 2019 4-Wall (2) Ground Lease 2019 4-Wall Operating profit (1) Rent expense PSF Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) Up to $2.00 PSF 60 9 $807 $139 $103 >$2.00, <$3,00 PSF 15 2 218 43 34 >$3.00, <$4.00 PSF 20 2 209 34 26 >=$4.00 PSF 14 1 164 18 13 Total 109 14 $1,399 $235 $175 Note: From Third Party Advisor August 2019 analysis. This only includes rent expense from the 430 operating leased and ground leased properties that the Third Party Advisor included in their analysis. Deutsche Bank (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in-progress 5 Investment Bank analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. (2) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs.


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD FY 2018 Occupancy Costs (Owned, Ground Leased and Operating Leased) 2019 4-Wall (2) 2019 4-Wall Operating profit (1) Occupancy cost PSF Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) Up to $2.00 PSF 210 26 $2,348 $443 $349 >$2.00, <$3,00 PSF 158 20 1,796 324 239 >$3.00, <$4.00 PSF 149 15 1,431 269 205 >=$4.00 PSF 329 32 3,340 521 372 Total 846 93 $8,914 $1,558 $1,165 (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in-progress Deutsche Bank analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. 6 Investment Bank (2) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs.81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD FY 2018 Occupancy Costs (Owned, Ground Leased and Operating Leased) 2019 4-Wall (2) 2019 4-Wall Operating profit (1) Occupancy cost PSF Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) Up to $2.00 PSF 210 26 $2,348 $443 $349 >$2.00, <$3,00 PSF 158 20 1,796 324 239 >$3.00, <$4.00 PSF 149 15 1,431 269 205 >=$4.00 PSF 329 32 3,340 521 372 Total 846 93 $8,914 $1,558 $1,165 (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in-progress Deutsche Bank analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. 6 Investment Bank (2) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs.


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD FY 2019 Occupancy Costs (Owned, Ground Leased and Operating Leased) 2019 4-Wall (2) 2019 4-Wall Operating profit (1) Occupancy cost PSF Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) Up to $2.00 PSF 211 27 $2,404 $456 $357 >$2.00, <$3,00 PSF 145 19 1,690 308 229 >$3.00, <$4.00 PSF 156 16 1,439 263 198 >=$4.00 PSF 334 32 3,382 531 381 Total 846 93 $8,914 $1,558 $1,165 (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in-progress Deutsche Bank analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. 7 Investment Bank (2) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs.81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD FY 2019 Occupancy Costs (Owned, Ground Leased and Operating Leased) 2019 4-Wall (2) 2019 4-Wall Operating profit (1) Occupancy cost PSF Stores SF (millions) 2019 Sales (millions) EBITDA (millions) (millions) Up to $2.00 PSF 211 27 $2,404 $456 $357 >$2.00, <$3,00 PSF 145 19 1,690 308 229 >$3.00, <$4.00 PSF 156 16 1,439 263 198 >=$4.00 PSF 334 32 3,382 531 381 Total 846 93 $8,914 $1,558 $1,165 (1) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in-progress Deutsche Bank analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. 7 Investment Bank (2) 4-Wall operating profit is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs.


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD Real Estate Appraisal Summary — “Lit” Value Total Store Base (1) Real Estate Lit Value Appraisal Summary ($ in millions except number of stores) $3,392 $1,995 $1,676 $1,397 $649 $488 $319 $259 -- Owned Ground Lease Operating Total Owned Ground Lease Operating Total Grand Total Lease Unencumbered Lease Encumbered Stores Stores Unencumbered Encumbered Stores Total Total Ground Operating Total UE Ground Operating Owned Owned Encumbered Grand Total Lease Lease Stores Lease Lease Stores (2) # of stores 65 49 460 574 212 60 -- 272 846 FY'19 4-Wall $166 $97 $675 $938 $482 $139 -- $620 $1,558 (3) EBITDA (1) The Company has not yet appraised 5 encumbered stores and 105 unencumbered stores based on a variety of factors, namely lease term, square footage and / or mall grade. Value does not include that of unappraised stores. (2) Reflects current store count, not adjusted for any contemplated closures. Deutsche Bank (3) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in- 8 Investment Bank progress analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. Source: Company, Third Party appraisal81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD Real Estate Appraisal Summary — “Lit” Value Total Store Base (1) Real Estate Lit Value Appraisal Summary ($ in millions except number of stores) $3,392 $1,995 $1,676 $1,397 $649 $488 $319 $259 -- Owned Ground Lease Operating Total Owned Ground Lease Operating Total Grand Total Lease Unencumbered Lease Encumbered Stores Stores Unencumbered Encumbered Stores Total Total Ground Operating Total UE Ground Operating Owned Owned Encumbered Grand Total Lease Lease Stores Lease Lease Stores (2) # of stores 65 49 460 574 212 60 -- 272 846 FY'19 4-Wall $166 $97 $675 $938 $482 $139 -- $620 $1,558 (3) EBITDA (1) The Company has not yet appraised 5 encumbered stores and 105 unencumbered stores based on a variety of factors, namely lease term, square footage and / or mall grade. Value does not include that of unappraised stores. (2) Reflects current store count, not adjusted for any contemplated closures. Deutsche Bank (3) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in- 8 Investment Bank progress analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. Source: Company, Third Party appraisal


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD Real Estate Appraisal Summary — “Dark” Value Total Store Base (1) Real Estate Dark Value Appraisal Summary ($ in millions except number of stores) $1,820 $1,124 $979 $696 $404 $151 $141 $146 -- Owned Ground Lease Operating Total Owned Ground Lease Operating Total Grand Total Lease Unencumbered Lease Encumbered Stores Stores Unencumbered Encumbered Stores Total Total Ground Operating Total UE Ground Operating Owned Owned Encumbered Grand Total Lease Lease Stores Lease Lease Stores (2) # of stores 65 49 460 574 212 60 -- 272 846 FY'19 4-Wall $166 $97 $675 $938 $482 $139 -- $620 $1,558 (3) EBITDA (1) The Company has not yet appraised 5 encumbered stores and 105 unencumbered stores based on a variety of factors, namely lease term, square footage and / or mall grade. Value does not include that of unappraised stores. (2) Reflects current store count, not adjusted for any contemplated closures. Deutsche Bank (3) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in- 9 Investment Bank progress analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. Source: Company, Third Party appraisal81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD Real Estate Appraisal Summary — “Dark” Value Total Store Base (1) Real Estate Dark Value Appraisal Summary ($ in millions except number of stores) $1,820 $1,124 $979 $696 $404 $151 $141 $146 -- Owned Ground Lease Operating Total Owned Ground Lease Operating Total Grand Total Lease Unencumbered Lease Encumbered Stores Stores Unencumbered Encumbered Stores Total Total Ground Operating Total UE Ground Operating Owned Owned Encumbered Grand Total Lease Lease Stores Lease Lease Stores (2) # of stores 65 49 460 574 212 60 -- 272 846 FY'19 4-Wall $166 $97 $675 $938 $482 $139 -- $620 $1,558 (3) EBITDA (1) The Company has not yet appraised 5 encumbered stores and 105 unencumbered stores based on a variety of factors, namely lease term, square footage and / or mall grade. Value does not include that of unappraised stores. (2) Reflects current store count, not adjusted for any contemplated closures. Deutsche Bank (3) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in- 9 Investment Bank progress analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. Source: Company, Third Party appraisal


81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD Real Estate Appraisal Summary — “Lit” and “Dark” Value Total Warehouse Base Real Estate Lit Value Appraisal Summary ($ in millions except number of Real Estate Dark Value Appraisal Summary ($ in millions except number of (1) (1) warehouses) warehouses) $356 $356 $218 $218 -- -- Unemcumbered Encumbered WH Grand Total Unemcumbered Encumbered WH Grand Total Operating Lease Owned Operating Lease Owned Unemcumbered Operating Unemcumbered Operating Encumbered Stores Encumbered Stores Owned Grand Total Grand Total Lease Lease Owned (2) # of WH 56 11 56 11 FY’19 4-Wall -- -- -- -- -- -- (3) EBITDA (1) The Company has not yet appraised 5 unencumbered lease distribution centers based on a variety of factors, namely lease term and / or square footage. Value does not include that of unappraised distribution centers. (2) Reflects current count, not adjusted for any contemplated closures. Deutsche Bank (3) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in- 10 Investment Bank progress analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. Source: Company, Third Party appraisal81ni 81ni 81ni 81nidZ dZ dZ dZpG pG pG pGqzkS qzkS qzkS qzkSD D D DM M M MpD pD pD pD Real Estate Appraisal Summary — “Lit” and “Dark” Value Total Warehouse Base Real Estate Lit Value Appraisal Summary ($ in millions except number of Real Estate Dark Value Appraisal Summary ($ in millions except number of (1) (1) warehouses) warehouses) $356 $356 $218 $218 -- -- Unemcumbered Encumbered WH Grand Total Unemcumbered Encumbered WH Grand Total Operating Lease Owned Operating Lease Owned Unemcumbered Operating Unemcumbered Operating Encumbered Stores Encumbered Stores Owned Grand Total Grand Total Lease Lease Owned (2) # of WH 56 11 56 11 FY’19 4-Wall -- -- -- -- -- -- (3) EBITDA (1) The Company has not yet appraised 5 unencumbered lease distribution centers based on a variety of factors, namely lease term and / or square footage. Value does not include that of unappraised distribution centers. (2) Reflects current count, not adjusted for any contemplated closures. Deutsche Bank (3) 4-Wall EBITDA is an internal store performance metric, which excludes most corporate overhead and other fixed allocated costs. 4-wall EBITDA values presented above reflect the Company’s in- 10 Investment Bank progress analysis as of April 30, 2020, and therefore, the above 4-wall EBITDA values should not be relied upon. Source: Company, Third Party appraisal