Sears files for Chapter 11 bankruptcy

Monday 15 October 2018 14:41 CET | News

Sears has announced that it filed for Chapter 11 bankruptcy with a plan to close 142 more stores.

According to Reuters, the Chapter 11 filing to reorganise debts of the parent of Sears, Roebuck and Co and Kmart follows a decade of revenue declines, hundreds of store closures and years of deals.

The publication also mentions that despite the efforts, the company has not turned a profit since 2011, and critics say the CEO let the stores deteriorate over the years. It has sold off the Craftsman brand and is considering an offer from Lampert for the Kenmore appliance name.

The company listed USD 6.9 billion in assets and USD 11.3 billion in liabilities in documents filed in the U. Bankruptcy Court in the Southern District of New York. The bankruptcy filing was sparked by a standoff between Lampert, the company’s biggest shareholder and lender, and a special board committee, over a rescue plan proposed by the CEO.

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Keywords: Sears, bankruptcy, ecommerce, retail, US
Countries: World