Sears to close 62 more stores
The company is dropping clothing from 10 locations and looking to shutter some Hometown and Hardware stores.
The struggling retailer said Thursday it will have to tighten its belt even more. Sears is now planning to close 43 Hometown stores, 10 Sears Hardware stores and all nine stores in the Great Indoors chain. Hometown stores are independently operated, and sell hardware in mostly rural areas.
Sears is also getting rid of clothing in 10 Sears stores -- perhaps in a test run for a chain-wide initiative in the future. Instead, those stores will sell more household items such as mattresses and furniture, the Associated Press reports. Shoppers have requested more choices in those areas, the company told the AP.
Sears has been busy with a number of moves designed to stem the bleeding from its bottom line. It's been trying to spin off its Hometown and Outlet stores, but the closure of 43 of those may show how well that's going. It's also selling 11 locations to General Growth Properties (GGP).
Scratching clothing from its lineup could be a very good move for Sears. Most people don't shop there for clothes. They might pick up some clothing as an afterthought, but they visit Sears stores for appliances and hardware.
Sears is going to have a harder time competing in clothing and other areas as JCPenney (JCP) completes its transformation into a trendier, more compelling chain. Target (TGT) continues to press forward in clothing, bringing in designer names like Jason Wu and adding in-store boutiques. Sears also has Macy's (M) and Kohls to contend with.
After years of just coasting on "good enough," Sears is finally making some drastic and necessary moves.
Meanwhile, Sears CEO Eddie Lampert just bought a $40 million dollar home in Florida. This is a fine example of capitalism of destruction. These people don’t get wealthy by creating net value in anything. They simply figure out ways to use complex financing with funny money to grab a bigger piece of a shrinking pie for themselves. To them, the land of opportunity is a place to rape, pillage, and plunder.
I am a taxpayer in the State of Illinois, and the State of Illinois just gave Sears $275 million dollars to keep their headquarters in Illinois and basically to bail them out. Even though I'm a taxpayer and citizen of the state, I didn't get to vote on that idea. Our confused governor and politicians did that and just handed them our money. Lots of other things that money could have been used for in this struggling state. Then Sears proceeded to layoff over 2,000 employee, and add them to the unemployment rolls in Illinois - more expense for us. But even though Sears and Kmart are flailing, CEO Ed Lampert is in the midst of purchasing a $40 million dollar home on a secluded island in Florida. I think this should be a private resort for the taxpayers of Illinois, and I'll really be pissed off the first time I hear that Governor Quinn of Illinois is being wined and dined there. Instead of being in Florida, maybe CEO Lampert should be in Hoffman Estates in Illinois trying to figure out how to save Sears and Kmart from extinction. He's going to Florida to hide. Maybe he should install gun turrets on his private estate in Florida because he is going to need them when all of the former Sears employees start coming after him. Just another disgusting example of corrupt politics in Illinois. We watched Rod Blagojovich walk into prison yesterday. He should have taken about 2,000 of his political cronies along with him because that's where they all deserve to be. I quit shopping at Sears and Kmart, and as soon as my husband retires, we are OUT of this state. This gives a whole new meaning to disgusting.
Sears CEO makes $7.4 million, but they need to tighten their belts by closing stores and put more people out of work so the fat cats can still live their lifestyle.
Does anyone really want that? Competition is healthy and I, for one, enjoy choosing where I shop....good or bad choices are better than NO choice at all. Viva Sears. Viva Kmart.
The way Sears is treating their customers it is no wonder that they are having to close stores. I recently had the following experience. My water heater broke down and when Sears was contacted regarding the warranty I was told that it was under warranty for an additional 2 years. I had to call the department to get an authorization to pick one up and was told that the executives had researched it further and had decided that they would not honor the warranty. I had been told previously that it was, my plumber had been told that it was under warranty but that they were not authorized to replace the water heater. I had to contact a company with the authorization and they were told three times that the heater was in fact under warranty. When the heater was to be picked up Sears refused to honor the warranty. I had to buy a water heater from a different company because as far as I am concerned Sears is no longer in business. If they continue to treat customers in this manner they might as well close all their stores now.
Years ago, I bought all my kids clothes through the Sears Catalog. As I recall, I even bought my first fake Christmas tree from them. I remember setting it up in my dads house once, and a friend sat right next to it and had no idea it wasn't real. I've got a picture in my bedroom of my kids, who at the time were three and four years old, that was taken at Sears. He just turned 43, and she'll be 42 in July.
I bought my last dish washer from them, a Kenmore.. My dad bought the stove that was in his house there. The house was built in 1955, and that old gas stove was working just fine when I remodeled the kitchen in the late nineties.
But, in this "new and improved!!" era of corporate greed, there is nothin built to last. There's no sense of pride, just money money money. You younger people truly have my sympathy. You don't stand much of a chance in this world, dominated by rank CEO's and their politicians. Fight back any way you can guys. I'd say first on the list is to stay outta Walmart, as much as you can. Check your local appliance stores for scratched and dented. I bought my last stove that way, and well, hey, it's still going, except the oven. The clock system, which runs the oven, petered out on me about two months ago, after, oh, maybe ten years. They want two hundred bucks for a new one, and I paid just over three for the whole thing. So, I use a little toaster over for any baking needs I have, which ain't much these days.
Progress? You can keep it. It seems to be nothing more than a quick trip over a cliff.
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The solid report comes a month after the retailer closed all of its Canadian operations.
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