10 Mind-Blowing Facts About JCPenney's Epic Decline

That compares with a $152 million in 2011, Brian Sozzi, chief equities strategist at Belus Capital, told us. 

Johnson's heavy investing toward his turnaround strategy and declining sales led to the loss. 

JCPenney lost customers because of Johnson's strategy, which involved getting rid of the sales and promotions that long-time customers loved. The company reported that staggering decrease in an earnings release.

Once customers are gone, it's difficult to get them back in stores. 

"If the new CEO can’t stop the bleeding JCPenney will be bankrupt by Labor Day," writes Jeff Macke at Yahoo! Finance. "The question for investors and shoppers alike is who is the new boss and what, if anything, can he do to save the company." 

This is especially concerning because the economy at large has begun to recover, Sozzi said. 

E-commerce is a booming industry, with total online sales at retailers up 15% in 2012, according to ComScore. JCPenney's inability to cash in on the trend is disconcerting.

There's no silver lining for JCPenney, and literally none of its markets or categories are doing well, according to financial analyst Sozzi. 

JCPenney can't even blame all its problems on Ron Johnson. 

"This cash issue was before Ron Johnson even took over, so clearly the former management team deserves a slap," Sozzi said. 

JCPenney's expensive, failed turnaround has left Wall Street with no confidence, said consultant George Bradt. 

"In JCPenney's case, the longer they fight to survive, the less value will remain when they finally cease to exist," Bradt told us. 

That decrease in spite of an economic recovery is concerning, Sozzi said. This shows an inherent flaw in its strategy.  

Now check out Ron Johnson's failed plan that got them there >