EXHIBIT 99

                             JCPenney News Release

CONTACT
Rita Trevino Flynn            Eli Akresh                   Bob Johnson
Public Relations              Investor Relations           Investor Relations
(972) 431-4753                (972) 431-2207               (972) 431-2217
rflynn@jcpenney.com           eakresh@jcpenney.com         rvjohnso@jcpenney.com
- -------------------           --------------------         ---------------------



                  JCPENNEY COMPLETES $1.5 BILLION CREDIT FACILITY

     PLANO, Texas, May 31, 2002 -- J. C. Penney Company, Inc. (NYSE:JCP)
announced today that its wholly-owned subsidiary, J. C. Penney Corporation,
Inc., has completed a new three-year, $1.5 billion bank line of credit.
Effective May 31, 2002, the facility may be used for general corporate purposes,
including letters of credit. The Company indicated that the pledged collateral
for the new facility would be limited to domestic department store and catalog
inventories, which can be released as certain performance improvements are
achieved.

     Commenting on the transaction, Robert B. Cavanaugh, Executive Vice
President and Chief Financial Officer, said, "The new facility provides us with
financial flexibility and demonstrates the confidence that the world's leading
banks have in JCPenney's business plans. With $2.3 billion in cash investments,
the Company's financial condition remains strong."

     The arrangement of the credit facility was co-led by JPMorgan and Credit
Suisse First Boston, with JPMorgan as the Sole Bookrunner.

     J. C. Penney Corporation, Inc., a wholly-owned subsidiary of the Company,
is one of America's largest department store, drugstore, catalog, and e-commerce
retailers, employing approximately 250,000 associates. As of April 27, 2002, it
operated 1,074 JCPenney department stores in all 50 states, Puerto Rico, and
Mexico, and 54 Renner department stores in Brazil. Eckerd operated 2,643
drugstores throughout the Southeast, Sunbelt, and Northeast regions of the U.S.
JCPenney Catalog, including e-commerce, is the nation's largest catalog merchant
of general merchandise. J. C. Penney Corporation, Inc. is a contributor to
JCPenney Afterschool Fund, a charitable organization committed to providing
children with high quality after school programs to help them reach their full
potential.



     This release may contain forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. Such forward-looking
statements, which reflect the Company's current views of future events and
financial performance, involve known and unknown risks and uncertainties that
may cause the Company's actual results to be materially different from planned
or expected results. Those risks and uncertainties include, but are not limited
to, competition, consumer demand, seasonality, economic conditions, and
government activity. Investors should take such risks into account when making
investment decisions.