Sears May Stay Alive With Rescue Bid Cobbled by Lampert
- Author: Darren Santiago Dec 30, 2018,
Dec 30, 2018, 2:10
The struggling company was expected to close 80 stores by March as it faced possible liquidation.
Sears officials have blamed a variety of factors, including competition from online vendors and a change in consumer buying habits. Despite the plan, Sears and Kmart have continued to suffer even as the company tried to cross-sell products between the companies, according to CNBC.
The company informed associates at 80 stores nation wide of closing. The Sears Auto Centers at these stores will also close.
The offer for 425 Sears stores has a $1.3 billion financial commitment from three financial institutions, ESL said in a Wall Street Journal report.
However, Lampert hasn't officially submitted a bid.
Sears Holdings closed at 17 cents per share Friday, down more than 2 percent.
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Suffering from falling sales and heavy debt, it planned to close 142 of about 700 stores and cut thousands of jobs.
If Lampert does submit a bid - which will be made public - it would be decided by next Friday whether he is a qualified bidder.
In a court filing, the creditors' attorney called Sears' plan to become profitable "nothing more than wishful thinking " and "an unjustified and foolhardy gamble with other people's money".
Liquidation sales at the Kmart and Sears stores are expected to begin by mid-January, the company reported. "Customers can use the store locator function on our web sites to find the location of their nearest Kmart and Sears stores".
Sears filed for bankruptcy in October.
On Friday, the bell tolled for the Sears in Towne East Square, 7700 E. Kellogg - the last traditional Sears department store in Kansas.
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