A couple of years ago HTS segment asked “owners” to submit financials. They offered possible help for “owners” struggling. You see, they know the business model had been broken for years because “owners” shared their struggles, but they always blamed the owner for the monetary problems. The HTS segment used to be the profitable part of the segment but that changed a few years. Eddie had a plan to sell Outlet, making HTS pay for a new Operating system that went with the sale of Outlet. The system was 66+ million! HTS cut out lines of product, reduced commissions, bonuses and the flow of goods.This forced the hand of many owners to not renew contracts. But in or around 2012, they added a two year non compete post term contract. Eddie wanted to save the markets once he forced the owners out. Why? To open up new HTS that are company owned! Did he use data of financials of owners to better understand the cost of running a HTS? They never offered help to any owner after they were given such privileged information. Owners walked, owners who had investments in their businesses, walked away with nothing at the forced hand of Eddie. Some of these stores were sold to other “owners” and some were simply given away to a new “owner”. This kind of behavior is unethical and I wouldn’t expect anything less from Eddie and his minions who continue to ruin peoples lives and operate a business model that is broken. Eddie is pathetic..
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Anyone naive enough to take on a HTS at this point must have rocks in their head...
I Don't Know About Any Of This,,, However I can Tell You That The Sears Hometown In Fountain HIlls Arizona Is Open For BUsiness!!
You would have to be a complete id--t to sign a new contract. So my guess is that everyone walks away.
Edward Lampert is a genius. I trust the long term plan.
So any info or insight on how many HTS owners will walk at the next contract renewal?
HTS = the ‘go forward’ (to liquidation) stores.