Sears: Saving Money by Closing Doors

Sears Holdings Corp plans on closing 62 of its’ retail stores in order to reduce expenses. Edward Lampert, Sears’ CEO, just had the company’s largest quarterly loss in at least nine years.  Its’ goal is to raise about $770 million to help recuperate from that loss. Shares fell 1.1 percent to $82.55 at the close in New York but shares have more than doubled this year after falling 56% last year.

The company also owns Kmart and has 45% less cash than last year with $747 million in the fourth-quarter. Kmarts have been struggling for years now and the amount of these types of stores have been falling with the success of major player Walmart and also wholesalers such as Costco and BJ’s. To survive, Sears not only has to raise money but find a way to reinvent itself to survive in the new market.

The full article can be found at: http://www.bloomberg.com/news/2012-03-16/sears-to-close-62-stores-in-first-half-of-this-year-to-cu.html