Sears is running out of money.
The company's cash and equivalents have fallen to $276 million from $1.8 billion one year ago, Sears said Thursday.
As a result, the retailer was forced to accept $300 million in financing from Sears CEO Eddie Lampert's hedge fund, ESL Investments.
Sears is losing cash as sales plunge at its namesake and Kmart stores.
Net sales fell 8.8% to $5.7 billion in the second quarter. Same-store sales plunged 7% at Sears stores and dropped 3.3% at Kmart stores.
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10 comments:
Sadly, Sears is a dinosaur. They didn't keep up with technology.
There will be many brick-and-mortar chains to follow.
Sears was destroyed by Walmart.
Along with many other once great companies.
11:40 is correct. They failed to modernize.
Wow I guess the greed has finally caught up to them. Sears also had the highest interest rate of any store based credit card. Greed burned them. When they went into the banking and insurance business they went to hell.
I will miss Sears. I also miss Montgomery Ward. I totally enjoyed shopping there! I think online shopping is the present and future. Some have already started becoming catalog stores to survive, like Macy's, and Best Buy.
You know, free shipping if your come and pick it up at their store! There is however a trend that is starting to come back, which are small mom and pop restaurants and and specialty stores on main street. Cambridge is a good example of this. I really like this trend and hope it takes off. Supporting local businesses is where it is at, and not corporations. I think also with the shrinking of the middle class, you will see more stores like Sears start fail. The Middle Class mainly support these stores, and the Middle Class is dying in this country.
Not to mention Amazon.
Grab your Craftsman tools now while you can
K-Mart has really gone downhill. The store is dirty, and junkie. I stopped feeling safe going there a long time ago. I think when the old mall closed and Sears moved into the current location that was the beginning of the end for them as well.
I tried for over three hours to try and look at their website and got kicked out every time so I gave up and went to Boscovs for my purchases.
Craftsman tools are sold at Ace Hardware, too, and online. I wonder,though, about the lifetime replacement warranty.
Now might be the time to give a hard look at all of your Craftsman hand tools and get them swapped out for new ones if they're looking worn or if they're broken.
Stopped in at a K-mart in Pennsylvania recently and everything in there looked like old merchandise.
The prices were high and the clothes were cheap looking. No one was in the store except for a handful
of shoppers so feel sure that particular store is on the way out!
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