According to multiple media outlets including The Associated Press, the retailer will identify the underperforming stores by the middle of March, and those stores will close by June 30.
The stores that will be affected represent about 14 percent of the company's store portfolio, but less than 5 percent of annual sales, according to reports.
Local J.C. Penney stores that will be waiting on the news include Paducah, Murray, Carbondale, Cape Girardeau and Union City.
The retailer said associates who will be impacted by the closures will receive separation benefits and help finding another job.
In connection to this effort, the company is offering a voluntary early retirement program to about 6,000 employees.
The company said the closures will help the company to better compete against online retailers.
"During the year, it became evident the stores that could fully execute the company's growth initiatives of beauty, home refresh and special sizes generated significantly higher sales, and a more vibrant in-store shopping environment," said Marvin R. Ellison, chairman and chief executive officer.
"We believe the relevance of our brick and mortar portfolio will be driven by the implementation of these initiatives consistently to a larger percent of our stores. Therefore, our decision to close stores will allow us to raise the overall brand standard of the company and allocate capital more efficiently."
J.C. Penney, one of the nation's largest department stores, currently operates more than 1,000 locations across the U.S. and Puerto Rico and employs about 100,000 employees.
The company sold its headquarters in Plano, TX, and is leasing it to lower its overhead, the Financial Times reported.
The Associated Press contributed to this report.
