JCPenney 2004 Annual Report Download - page 54

J.C. PENNEY COMPANY, INC.2 004 ANNUAL REPORT
52
Equal Employment Opportunity
The Company adheres to a policy of equal employment opportunity. The summary below represents employees of the Company
and its subsidiaries excluding persons employed in Puerto Rico, foreign countries and the discontinued Eckerd drugstore operation.
The information delineates female and minority representation in major job categories:
Total Employed % Female % Minority
2004 2000 2004 2000 2004 2000
Officials, managers and professionals 9,293 11,495 53.1% 54.3% 16.7% 15.2%
Management trainees 87 477 63.2% 55.3% 41.4% 31.4%
Sales workers 77,884 99,803 85.9% 86.4% 31.9% 26.6%
Office and clerical workers 22,060 22,472 87.5% 88.9% 29.3% 26.3%
Technicians, craft workers, operatives,
laborers and service workers 33,951 42,854 74.3% 70.6% 34.8% 32.3%
Total 143,275 177,101 81.3% 80.8% 31.2% 27.2%
Supplier Legal Compliance
The Company has a comprehensive and effective program for promoting compliance with labor and other laws in the factories used
by its suppliers in the United States and abroad. This program is described in “The JCPenney Supplier Legal Compliance Program,”
which may be obtained as indicated on the inside back cover of this Annual Report.
Common Stock Holdings
The following table shows the approximate ownership percentage of the Company’s common stock by major category as of
December 31, 2004:
% Ownership
Institutional 78%
Company savings plans 11%
Individual and other 11%
Dividends Paid Per Share and Market Price of Common Stock
First Second Third Fourth
2004 2003 2004 2003 2004 2003 2004 2003
Dividend per common share $ 0.125 $ 0.125 $ 0.125 $ 0.125 $ 0.125 $ 0.125 $ 0.125 $ 0.125
Common stock price range:
High
$ 36.77 $ 21.47 $ 40.20 $ 19.25 $ 41.50 $ 25.17 $ 43.70 $ 27.50
Low $26.25 $ 16.55 $ 31.10 $ 15.57 $ 34.03 $ 17.25 $ 34.11 $ 22.29
Close $33.86 $ 16.88 $ 40.00 $ 18.07 $ 34.59 $ 24.45 $ 41.69 $ 26.18
OTHER CORPORATE INFORMATION (UNAUDITED)
BOARD COMMITTEES
1. Member of the Audit Committee. This committee selects and retains the
independent auditors for the annual audit of the Company’s consolidated finan-
cial statements and approves audit fees and non-audit services and fees pro-
vided by the independent auditors. The committee also reviews the independ-
ent auditors’ audit strategy and plan, scope, fees, audit results, performance and
independence; internal audit reports on the adequacy of internal controls; the
Company’s ethics program; status of significant legal matters; the scope of the
internal auditors’ plans and budget and results of their audits; and the effective-
ness of the Company’s program for correcting audit findings. The committee also
participates in the certification process relating to the filing of certain periodic
reports pursuant to the Securities Exchange Act of 1934, as amended, and the
Sarbanes-Oxley Act of 2002.
2. Member of the Corporate Governance Committee. This committee con-
siders matters of corporate governance and reviews developments in the gov-
ernance area as they affect relations between the Company and its stockhold-
ers. It also develops and recommends to the Board corporate governance prin-
ciples and practices for the Company, makes recommendations to the Board
with respect to the size, composition, organization, responsibilities and functions
of the Board and its directors, the qualifications of directors, candidates for elec-
tion as directors and the compensation of directors. The committee also assures
that Company policy and performance reflect sensitivity toward the social and
physical environments in which the Company does business and that such pol-
icy and performance are in accord with the public interest.
3. Member of the Human Resources and Compensation Committee. This
committee reviews and administers the Company’s annual and long-term incen-
tive compensation plans, makes recommendations in areas concerning person-
nel relations and takes action or makes recommendations with respect to the
compensation of Company executive officers, including those who are directors.
The committee reviews the annual financial condition and investment perform-
ance results of the Company’s retirement and welfare plans, including the annu-
al actuarial valuation reports applicable to such plans. It is also the committee
that oversees the administration and operation of certain of the Company’s retire-
ment and welfare plans.
4. Member of the Finance Committee. This committee is responsible for
reviewing the Company’s financial policies, strategies and capital structure.
Reference to Proxy Statement
For additional information about Company directors, board committees,
executive compensation, audit fees and corporate governance matters, see the
2005 J. C. Penney Company, Inc. Notice of Annual Meeting and Proxy
Statement.