More layoffs, store closings reportedly coming at Sears
The revival of Sears and Kmart is not looking all that promising.
The parent company of Sears and Kmart is getting set to layoff 250 employees and close even more stores than expected, reported CNBC.
In August, TransformCo., the name of the brands’ new parent company, said it would close 21 Sears stores and five Kmart stores in late October as the company struggles in a “weak retail environment” and pins its hopes on smaller-format stores. But according to the CNBC report, it now plans to add dozens more to the list.
Sears Holdings emerged from bankruptcy earlier this year when its CEO at the time, Eddie Lampert, secured a roughly $5 billion using his hedge fund ESL to buy the retailer’s assets out of court, keeping about 400 Sears and Kmart locations up and running. Lampert serves as chairman at TransformCo. As a private company, TransformCo has largely flown under the radar.
TransformCo didn't exist until 6 months ago. It was created to acquire Sears/Kmart.