Kmart Acquires Sears for $12.3 Billion
Hoffman Estates, Ill., Kmart has bought Sears, Roebuck and Co. for $12.3 billion, merging the companies into the nation’s third-biggest retailer with annual sales of $55 billion. Chairman Edward Lampert said in a press conference that the company was neither planning a lot of store closings, nor looking to sell off Sears’ assets. Specifically, Lampert has denied that Sears’ Land’s End division was on the market.
News reports described the Sears shareholder meeting as “rancorous,” as voters voiced fears that Sears’ assets would be sold off to raise cash. Shareholders also expressed disbelief that the 119-year-old company has been acquired by Kmart, a company two years out of bankruptcy.
The new entity, Sears Holding Corp., trails only Wal-Mart Stores Inc. and The Home Depot Inc. as the top U.S. retailers.
Disney Store Expands to Outlet Arena
Glendale, Calif., Disney Store North America, a wholly owned subsidiary of The Children’s Place Retail Stores, will expand into the retail outlet arena. Its first outlet will measure more than 7,000 sq. ft. and will open in New York this weekend at the Woodbury Common Premium Outlets. Five additional outlets are planned to open this year in California, Arizona, Illinois, Tennessee and Ontario, Canada. The move marks the first adjustment to Disney Store’s real estate strategy since The Children’s Place acquired the chain in November.
Barnes & Noble to Repurchase $200M in Stock
New York City, Barnes & Noble Inc. has authorized a share repurchase program of up to $200 million of its common shares. The repurchase program follows a previous, $250 million program that the retailer recently completed.