Sears store at ShoppingTown Mall set to close, employees say

Calvin Saunders
June 1, 2018

Its chief executive, billionaire Eddie Lampert, has said the company should sell its well-known appliance brand Kenmore, home improvement businesses and real estate, and that his hedge fund ESL Investments Inc would bid for them.

Sears is closing another 63 stores after reporting first-quarter losses and plunging sales, and two of the affected locations are in MA.

But to meet customer needs and improve financial results, Sears must close poorly performing stores and "focus on our best stores, including our newer smaller-store formats", he said, according to a transcript of the call. As recently as 2016, there were almost 1,600 Sears and Kmart stores in business throughout the U.S. By the start of 2019, that total could be down to around 1,100. Sears closed another mall department store, at Orlando Fashion Square, in October 2016 and shut down the region's last Kmart store in April. The Summit store will close to the public in August.

The company previously announced closures for dozens of KMart stores across the country.

The 72 stores were among 100 Sears identified that are no-longer turning a profit.

This isn't the first time the retailer has announced a list of closings this year.

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"I don't think there really is much hope for them remaining open because the sales are down so strongly and the company remains unprofitable".

The additional US closures come after Sears reported a more than 30 percent drop in sales when compared to the last quarter.

Altogether, the company lost about $424 million, which it says amounts to about $3.93 per share.

The year-ago quarter had a $492 million benefit related to the sale of Sears' Craftsman brand.

In Washington state, Redmond, Shoreline, Chehalis and Federal Way are among those to lose their Sears' stores this year, along with the Chehalis Kmart.

Other reports by MaliBehiribAe

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