"Lampert wrote that the frequent reports about Kmart's demise are "false and exaggerated." He added that "there are no plans and there have never been any plans to close the Kmart format." But he conceded that some unprofitable Kmart stores will be closed. " HEY Eddie, tell us what store is Profitable. The profitable list must be shorter than the unprofitable list the way you keep closing stores. http://money.cnn.com/2016/10/04/investing/sears-bankruptcy-rumors-kmart/index.html
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one business analyst says all Kamarts to close in early 2017
I believe all Kmarts will close by early 2017
What 2 stores are you talking about?
The two profitable stores that were closed were not up for lease renewal. They broke lease AND paid an extra year's rent in advance to do so.
That is moving assets from one company to another and is NOT in the long term best interest of sears.
It is a huge hole in 9055s statements that he continues to fail to address. But when he posts elsewhere that he's being truthful, this is a clear, huge, example where he is not.
Like trump, he claims the media or investors with interest are out to get sears. No, they are just telling the truth, which exposes bad people and companies for what they are. Bad.
@1juf 9055 said: What will close are locations which are losing money or which will lose money if a lease is renewed at a higher rent.
Note to self be nice to 9555.........
Do not get your self banned
@1juf, I am wondering also, how many of the 737 stores Kmart wise that are in the green or at least breaking even? I wonder also how many are severely in the red?
9055,
Now you surprise us with your knowledge of BK proceedings, how fascinating.
However you mention again that only losing locations will be closed, so I'll ask you a question you've ignored before....
They are not just closing unprofitable stores. At least two (highly) profitable locations were slated for close in the most recently annouced wave. Conveniently they were both owned by SRG. And conveniently for SRG, the terms of lease breaking provides some very nice cash flow to SRG that will help smooth out a shock that would occur SHOULD (sarcasm) SHLD file for BK.
If the long term plan is for SHLD to return to profitability, why close two highly profitable stores?
I'm also going to mention that not all Christmas merchandise arrives at once, since allegations have been made about lack of product. Christmas merchandise comes in waves and is replenished at various points in time. Additionally, stores with lower volumes typically receive less quantity than larger volume stores, so there may be some confusion on the part of Internet observers.
In bankruptcy court, a company has to show it has made a good faith effort to reduce expenses, cut money-losing operations, and be moving toward profitability. I do not believe that there's any plan to close all Kmart brick and mortar locations. What will close are locations which are losing money or which will lose money if a lease is renewed at a higher rent. Just thought I would add my two cents.
I should amend my above post to say Eddie "supposedly" and "rumor has it" that he has done illegal dealings regarding SHLD. JMO and not proven fact yet.
You have to read between the lines with this s.o.b. He said no plans to close the Kmart "format". What that means is he IS planning on closing all the brick and mortar stores and keeping the Kmart "format" alive as online shopping only - which we all know is a joke and an awful shopping experience. This way he can liquidate inventory for cash and not have to pay rent, utilities, salaries, etc., to actually run physical stores. Liquidation is better for him than bankruptcy. Eddie Boy is just trying to buy time until his REIT is safe from being raided for assets if Kmart/Sears claim bankruptcy. He's doing a slow, bit by bit liquidation in order to avoid bankruptcy court where he will be required to open his books in Federal Court which will likely result in prison time for him if required to do so as he has done a lot of illegal dealings regarding SHLD. Also, if you read his statement about Kmart not closing on the Sears blog, where it first appeared, you will see a disclaimer at the bottom in legalese that basically says in layman's term that anything he said in the above article may be bullsh*t, it's an opinion stating what may happen and not subject to being held as fact. He's also attempting to quell vendors' fears that he won't be able to pay for Christmas merchandise which has resulted in a lack of product being delivered to the stores, exception being the crap they are sending out from closing stores and DCs. Bottom line? Eddie is once again assuming the employees - and the public - are stupid and he's the smartest guy in the room.