Retailers, consumers and prices
Analysts, on average, were expecting a drop of 7.8 percent, according to Thomson Reuters data.
In November, which represents the start of the crucial selling season, same-store sales at its namesake stores fell 14.5 percent.
Penney reported a net loss of $1 million, or nil per share, compared with a year-earlier profit of $117 million, or 52 cents per share. Analysts on average expected a loss of 1 cent per share, according to Reuters Estimates.