This year, J.C. Penney Co. believes, people want to "give like Santa, save like Scrooge."

The Plano-based department store chain says it has sharpened prices even more for Christmas, talking Godiva into $9.99 chocolates, discounting the Snuggie blanket (with sleeves) to $14.99, and pricing fashion boots under $50 and cashmere-blend pea coats for $99.

"We've stepped up our sense of style with shocking prices," said Mike Boylson, chief marketing officer. "We're able to pass our efficiencies on to customers. We get the margins we need, and the customer gets the value."

Last year, retailers were caught off guard by the recession's severe impact on consumer spending. Penney's clearance discounting competed with its own promotional pricing. Same-store sales fell 13.5 percent in the fourth quarter of 2008.

About $2 billion in sales Penney had expected in 2008 never materialized as shoppers pulled back spending, resulting in the industry's worst holiday season in decades.