They said last quarter that they didn't need to raise more money. $1.5 Billion liquid by year's end was sited. So why borrow money unless turnaround is not going well? Ouch. And I thought all those hedge fund buyers were smart guys.
I guarantee you that borrowing is not a bad sign. This is not about JCP's turnaround being interrupted. This is all about improving the bottom line. The big boys are pushing management to do this. You shorts just don't understand finance or retail for that matter.
I would expect management to look into borrowing money cheaper. How much money? What terms? What rate? What structure? I haven't seen a official response. It's been bantered about that JCP already hocked all their real estate. Now the Bloomberg reports there is $4 billion untapped. You shorts are too much. It's all going to boil down to comparable store sales.