Sears and Kmart to Close 100 Plus Stores
Sears and Kmart will be closing more than 100 stores after disappointing holiday sales revenue. The holiday season is the most crucial time of year for retailers to haul in a profit, and this year Kmart and Sears fell way short of their goals.
Sears Holdings Corp. owns the companies and is based in Northwest Suburban Hoffman Estates. The corporation says same-store revenue fell 5.2 percent to date for the quarter at Sears and K-Mart.
Both stores blame revenue drops on diminished consumer electronic sales. Kmart also had less inventory on layaway and lackluster clothing sales this year, and Sears saw a decline in home appliances.
Sears has more than 4,000 stores in the US and Canada. Closing 100-120 stores is expected to generate more than $140 million dollars in cash inventory sales. Sears Holding Corp. anticipates additional proceeds from the sale or sublease of real estate holdings.
Earlier this month Illinois passed a huge corporate tax incentives bill to keep companies like Sears headquartered in Illinois. The company was threatening to leave the state if it wasn't given tax breaks.