Thread regarding Sears layoffs

@O6gvrss-2ekr - good synopsis

Thats what the transformation is all about - file BK, unload pensions, unload debt, abandon Kmart, create a smaller Sears store footprint selling selected categories, and the remaining collateralized real estate to the SRG reit, unfortunately don't need 140k peeps FOR the transformation

2wrw- You are correct. Kmart was in dire straights and Eddie bought the debt. The reason he bought the debt is so that he could be the first creditor in line when BK was filed. And so why did he buy the debt and what did he get out of it....real estate. Kmart had tons of real estate and leases that were dirt cheap. He then took the money he made from that deal and bought Sears. Why would he buy Sears... real estate. Sears had much the same as Kmart, lots of real estate and dirt cheap leases, some leases were for 50 years. So how why destroy two companies that you put so much money and effort into... real estate.

Start a company that develops real estate and sell or redevelop the real estate for more money or take the stores that had cheap leases and sub-let or write new leases for more money and at todays market value. What is that company called today... Seritage. The company that Eddie started when he bought the prime real estate from SHC a few years ago. Those stores are now either being closed and repurposed or redeveloped or they are paying SHC rent at todays market value instead of the cheap rent they used to pay. And lastly, why would Eddie keep lending money to SHC to keep it afloat? Because just like when he bought Kmart, he is now the first in line to be paid when BK is filed. And what is Eddie going to be paid with since SHC has no cash? .... Real Estate. All the loans Eddie has given are backed by real estate and inventory.

Eddie is not a retailer, and really he is not a finance guy. His interest are and always have been in real estate. Do a little research and you will see that I am correct.

Receiving leads good bye hahah

not sure if I follow your message about the blow out sale .... but like I said below we now have received the sign package filled with BLOW OUT signing. I haven't seen any information as when these are to be displayed... this is not a fake post if I could post pics of them laying on the shelves I would gladly do it

@2dvf Interesting we have only been told about the blow out sales at Kmart not Sears. We had been told all Kmart stores would have the blow out sales plus online and they had tested it in Sears and it hadnt worked, so they were only doing the Kmart stores. It is simply a new marketing try for July. It is a nice comprehensive message at least for the Kmart stores.....just an end of season sale with easy %s off of categories.

So 2lib, you are saying Kmart bought sears, then Eddie saved both of them and then he destroyed both of them. Interesting. The way I remember it, Kmart was in bankruptcy,eddie comes along and gets them out. If not for that, Kmart would have been gone.Do you remember .50 shares of stock? Sears was in a little better shape financialy but not much. So Eddie buys 2 bad companys and thinks he's going to make a fortune. Too many high payed people who were/are centered on themselfs instead of retail.

Sears isn't killing Kmart and Kmart isn't killing Sears. Bad leadership is killing both. A lot of the downsizing now is just too little too late. So it really doesn't even seem to matter anymore. But in the court of public opinion? Sears is a more viable entity than Kmart.

Yes i agree ... i work at a sears store and we just got our BLOW OUT SALE signs so you are right ... sears will be doing the same thing sooner than later .... Eddie, the slow liqudation has begin at sears

1slq- If it weren't for Kmart buying Sears they would have filed bankruptcy in 2005 or 2006. Both companies were in dire straights but Eddie saved both of them and then destroyed them.

For everyone who works for Sears just think of everything that happens at Kmart as a trial run for Sears. They run all the new ideas through kmart stores and then rework any problems and then they put them into affect at Sears. So keep track of what happens at Kmart and what positions are eliminated becasue they are coming to a Sears near you soon.

@egj The Segno training is for legal requirements. HIPAA compliance among other baselines that they need employees to read, even if you're not dealing with that information directly.

Yes, some of the Kmart stores do look like the "Dollar General" stores. It is a shame.

ok no offence to the people that work at a Kmart store, but i went into one in Michigan this past weekend and it looked like I was walking into a dollar store not a retail store the product was poor to say the least the building was so outdated is was crazy so dumping the whole name would and could only help sears to stay afloat. talking to people outside of the company have said that for years, joining with kmart was a bad plan and I still agree.

I would not be at all surprised if they file Chapter 11 in the coming months, and dump Kmart as part of the bankruptcy restructuring.

@1qfw These liquidation sales are for Kmart only.

everyone is speaking of these reduction sales going on ... here at sears we and or I have not heard of this ... is this just a Kmart thing possibly, or is my head stuck in the sand

Shareholders complaints will be few since two people have control over most of this, and any fund owning any of this will have its owners screaming for the fund manager's head on a pike pole. Truly sad.

No sense filing until at least Aug. If he files a few days or even a week after the time for the unlawful conveyance laws to go away there could be some reason for stock holders to say "See that is what he was doing".

If he waits until August after the Second quarter numbers come out he can say that "he tried but it was just to difficult to overcome the debt and falling sales" Also, with the inventory reduction sales going on all through July SHC might have enough cash to get through a few more weeks or months. Or they can use that cash to pay executive bonuses.

I heard the date he gets to keep his bought properties is July 8th ... and as of the posts I have seen on this site and a different site ( called seeking alpha, an app I have on my phone) the predication is Monday the 10th will likely be the date he files for chapter 11

Have you not been following, Eddie doesn't get to keep all the best properties he gave himself thru the Seritage transaction unless he waits till after July 12 to file bankruptcy...

Um, it IS July...

pushing you for training may be for legal reasons, like safety training to do your job

@1nfk- is this for Sears or Kmart, in regards to the layoffs of ASMs, backroom leads and shoe leads?

Kmart Stores, northeast

Expect news Friday. Most DM's have a better assumption, but will not be "released" to them until Wednesday. Thursday is a mandatory SM meeting, and Friday it will be revealed at store level.

There is actually legit info on the Kmart board,

Layoffs are inevitable. In my area we lost our shoe leads, ASM, and backroom lead last year before I even left the company. If you're in one of those positions I'd expect to be cut in the coming weeks/months considering they've already done it in other areas.

I want to know the same thing. Why are they pressing for us to do training if this ship is almost down ?

I'm hearing footwear lead,backroom lead,ASM,and service desk associate are on the chopping block. If they do have a meeting on Thursday will the announce the cuts the same day or Friday?

What's the sense of Segno if the company is going down the tubes?

In the northeast district, the marketing trainers were left go last week.

Not really sure what their jobs actually were. Something about getting associates to do Sego training,which no one does and no one seems to care.

Sears, Market Leaders, used to be called, District Managers. They changed the name 3 years or more.

I'm not the OP but I would guess Kmart? Sears has Market Leaders, not District Managers...

Kmart northeast

sears or kmart stores?????