Sears reaches 11th hour deal to stay in business

[JacksinPA]

https://www.cnn.com/2019/01/08/business/sears-future-bankruptcy-delay/index.html

White Plains, NY (CNN Business)Sears was facing the possibility of shutting down, until it reached an 11th-hour deal Tuesday to stay open, at least for now.

After two long delays at a morning hearing in bankruptcy court, attorneys for Sears announced it had accepted a revised bid from a hedge fund controlled by Eddie Lampert, the chairman and former CEO of Sears. The deal would keep 425 of the stores open.
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Certainly welcome news for a lot of their employees. Let's hope they recover & develop a winning business plan.

 

[VanceMack]

This likely will only be temporary and may not even go through if the majority shareholders force the closure. Even if they stay open, to what end? Sears as a business model either needs to completely reinvent itself or it is just delaying the inevitable.

 

[Top Cat]

This likely will only be temporary and may not even go through if the majority shareholders force the closure. Even if they stay open, to what end? Sears as a business model either needs to completely reinvent itself or it is just delaying the inevitable.

Shoot the horse already.

 

[roughdraft274]

https://www.cnn.com/2019/01/08/business/sears-future-bankruptcy-delay/index.html

White Plains, NY (CNN Business)Sears was facing the possibility of shutting down, until it reached an 11th-hour deal Tuesday to stay open, at least for now.

After two long delays at a morning hearing in bankruptcy court, attorneys for Sears announced it had accepted a revised bid from a hedge fund controlled by Eddie Lampert, the chairman and former CEO of Sears. The deal would keep 425 of the stores open.
=============================================================
Certainly welcome news for a lot of their employees. Let's hope they recover & develop a winning business plan.

They will need new leadership to overcome the horrible decisions they've made in the past, but good on them for trying. I'd love to see a revamp to the store to make them more like a Macy's or Dillard's with better selections and better online shopping. They likely need to give it up on the home improvement front. Their tools and appliances are substandard and not worth the money from my experience.

 

[ttwtt78640]

https://www.cnn.com/2019/01/08/business/sears-future-bankruptcy-delay/index.html

White Plains, NY (CNN Business)Sears was facing the possibility of shutting down, until it reached an 11th-hour deal Tuesday to stay open, at least for now.

After two long delays at a morning hearing in bankruptcy court, attorneys for Sears announced it had accepted a revised bid from a hedge fund controlled by Eddie Lampert, the chairman and former CEO of Sears. The deal would keep 425 of the stores open.
=============================================================
Certainly welcome news for a lot of their employees. Let's hope they recover & develop a winning business plan.

Other than Kenmore and Craftsman "pseudo brand" producs (which are now sold by other means) there is nothing to make me miss Sears. I have not been in a Sears store for decades.

 

[VanceMack]

Shoot the horse already.

That or go a different direction. Sears cant compete in a world of WalMart, Target, Lowes, Home Depot, and with everyone offering online versions of their stores.

 

[VanceMack]

They will need new leadership to overcome the horrible decisions they've made in the past, but good on them for trying. I'd love to see a revamp to the store to make them more like a Macy's or Dillard's with better selections and better online shopping. They likely need to give it up on the home improvement front. Their tools and appliances are substandard and not worth the money from my experience.

Sears should consider coming out as a brand targeting the millennial generation. And it would have to be QUICK. Clothing lines...maybe computer and video game tech. Cell phones. First time buyers, little to no credit experience, maybe even low interest car and student loans. The market is tapped in their existing milieu.

 

[Common Sense 1]

Hard to believe that Sears is in this condition.
My first credit card was from Sears with a $300 limit.
At the time that was such a big deal for me. I had a Sears charge card.
I bought a lot of Craftsman tools.

I hope they can overcome all the issues plaguing them today.

 

[OrphanSlug]

What a horrible idea, all it will do is prolong the mess that much further.

 

[roughdraft274]

Sears should consider coming out as a brand targeting the millennial generation. And it would have to be QUICK. Clothing lines...maybe computer and video game tech. Cell phones. First time buyers, little to no credit experience, maybe even low interest car and student loans. The market is tapped in their existing milieu.

Terrible idea. The market isn't tapped in what they do. The problem is that they do a terrible job of it. People would shop at sears if they actually had good merchandise and nice stores. And they'd buy online from them if they had good merchandise, good prices and a better and stream lined website. Sears has a brand name that other companies would pay dearly for. They've tarnished that name as of late, but your suggesting that they need to completely revert to a company that specializes in the millennial generation that have absolutely no fond memories of that brand. I'm not saying they should go out of their way to alienate those groups, but you aren't going to revamp sears based on it. They might as well change their name if they do that because it means little to millenials.

 

[roughdraft274]

Hard to believe that Sears is in this condition.
My first credit card was from Sears with a $300 limit.
At the time that was such a big deal for me. I had a Sears charge card.
I bought a lot of Craftsman tools.

I hope they can overcome all the issues plaguing them today.

I have some old craftsman tools from my grandpa and father. Well made stuff. Been a very long time since craftsman meant quality.

 

[Lord Tammerlain]

This likely will only be temporary and may not even go through if the majority shareholders force the closure. Even if they stay open, to what end? Sears as a business model either needs to completely reinvent itself or it is just delaying the inevitable.

It will just delay the inevitable

Management of Sears Holding has been using fund from it to pay for other investments rather than for improving the operations of Sears. Special dividend were sent out I believe each time Sears sold off a major part of its operations.

ESL Investments is a privately owned hedge fund based in Greenwich, Connecticut and estimated to be worth over $9 billion as of 2004.[1] ESL Investments are not associated with ESL International, the stock market investment technology company. The fund is managed by Edward Lampert, who founded it in April 1988 and named it after his initials. The firm invests in the American public equity and hedging markets. Managing the fund with a contrarian investing approach, Lampert is the company's chairman and chief executive officer, and William Crowley is its president and chief operating officer.[2] ESL is fairly unusual as a hedge fund in that it takes large stakes in a small number of companies and holds them for many years.[3] Most of ESL's portfolio consists of retail companies, particularly Kmart (now Sears Holdings Corporation), by far the company's largest holding (53.5% ownership as of June 2010).[4] The revenue from Kmart plays a big part in helping ESL acquire other companies.[1]

https://en.wikipedia.org/wiki/ESL_Investments

ESL is controlled by Lampert, who is also the CEO of Sears Holding

 

[VanceMack]

Terrible idea. The market isn't tapped in what they do. The problem is that they do a terrible job of it. People would shop at sears if they actually had good merchandise and nice stores. And they'd buy online from them if they had good merchandise, good prices and a better and stream lined website. Sears has a brand name that other companies would pay dearly for. They've tarnished that name as of late, but your suggesting that they need to completely revert to a company that specializes in the millennial generation that have absolutely no fond memories of that brand. I'm not saying they should go out of their way to alienate those groups, but you aren't going to revamp sears based on it. They might as well change their name if they do that because it means little to millenials.

Lets see...when they started they WERE the market. Now there is Target, Walmart, Dillards, Lowes, Home Depot, Ace, NM, OH...and then TONS of places like Ross, Dress Barn, etc.

And as they were initially a mail order industry the modern version of that of course is Amazon, but every major retailer has their beak in it...

Nah...the market isnt saturated at ALL....

 

[Lord Tammerlain]

Terrible idea. The market isn't tapped in what they do. The problem is that they do a terrible job of it. People would shop at sears if they actually had good merchandise and nice stores. And they'd buy online from them if they had good merchandise, good prices and a better and stream lined website. Sears has a brand name that other companies would pay dearly for. They've tarnished that name as of late, but your suggesting that they need to completely revert to a company that specializes in the millennial generation that have absolutely no fond memories of that brand. I'm not saying they should go out of their way to alienate those groups, but you aren't going to revamp sears based on it. They might as well change their name if they do that because it means little to millenials.

Sears had a brand name that others would have paid dearly for. The only people who think about Sears are likely 50+ in years and they sold off all there Sears brands like Kenmore, Craftsman tools etc. The only thing of value is the land that Sears Stores are sitting on. With the closing of so many malls, that land is not worth as much as before

 

[roughdraft274]

Lets see...when they started they WERE the market. Now there is Target, Walmart, Dillards, Lowes, Home Depot, Ace, NM, OH...and then TONS of places like Ross, Dress Barn, etc.

And as they were initially a mail order industry the modern version of that of course is Amazon, but every major retailer has their beak in it...

Nah...the market isnt saturated at ALL....

If there are alot of companies in that market it's cause there's alot of money to be had. There's lot of burger places. Burger King should instead start focusing on selling low carb meals to millenials.

If you don't think they'd also have competition in going after millennials then you don't know what you're talking about. I'm just saying they shouldn't completely forget who they are. They should look at what the leaders in their market are doing and understand why they are so far behind.

 

[VanceMack]

Sears had a brand name that others would have paid dearly for. The only people who think about Sears are likely 50+ in years and they sold off all there Sears brands like Kenmore, Craftsman tools etc. The only thing of value is the land that Sears Stores are sitting on. With the closing of so many malls, that land is not worth as much as before

Round these parts, you used to have to go about 15 miles to get to Sears...and you did. Today...leaving my house there is in order a CAL Ranch Hardware Store, a Home Depot, Walmart, Kohls, Lowes, Ross, Military Base with BX, an ACE hardware store, a recently shutdown k mart, a Target, another Kohls, another Home Depot, a Sams Club, A Wal mart, A whole bunch of outlet stores, And finally an RC Wiley Furniture Store. Across the street from the Mall (right instead of left) is a COSTCO.

Im sorry...why was I driving to Sears again???

 

[VanceMack]

If there are alot of companies in that market it's cause there's alot of money to be had. There's lot of burger places. Burger King should instead start focusing on selling low carb meals to millenials.

If you don't think they'd also have competition in going after millennials then you don't know what you're talking about. I'm just saying they shouldn't completely forget who they are. They should look at what the leaders in their market are doing and understand why they are so far behind.

I didnt say abandon EVERYTHING they are. Sears sells clothing. I just think they should specifically target millennials and use the Sears Finance structure as an in.

 

[SDET]

Shoot the horse already.

You wouldn't be saying that if you were one of the 60,000+ employees getting a few more pay checks.

 

[jdog21]

Round these parts, you used to have to go about 15 miles to get to Sears...and you did. Today...leaving my house there is in order a CAL Ranch Hardware Store, a Home Depot, Walmart, Kohls, Lowes, Ross, Military Base with BX, an ACE hardware store, a recently shutdown k mart, a Target, another Kohls, another Home Depot, a Sams Club, A Wal mart, A whole bunch of outlet stores, And finally an RC Wiley Furniture Store. Across the street from the Mall (right instead of left) is a COSTCO.

Im sorry...why was I driving to Sears again???

I thought ACE had died off, are they making a comeback?

 

[VanceMack]

I thought ACE had died off, are they making a comeback?

We have 2 but I think they are Franchise owned.

I should have put there also...we own a Craftsman tractor...but frankly...Craftsman tractors are made by Huskvarna and anything I cant get at CAL Ranch and Home Depot I can get online. I dont need Sears. Hell...they even farmed out their service contracts.

 

[VanceMack]

I thought ACE had died off, are they making a comeback?

FYI
https://www.acehardware.com/

21 in our state...not sure where you hail...

 

[jdog21]

FYI
https://www.acehardware.com/

21 in our state...not sure where you hail...

California, they had closed down the 2 that were within 30 mins of me back in 2000. And I haven't seen a commercial from them in a decade. Just assumed they went under due to home depot and lowes

 

[Tom Horn]

https://www.cnn.com/2019/01/08/business/sears-future-bankruptcy-delay/index.html

White Plains, NY (CNN Business)Sears was facing the possibility of shutting down, until it reached an 11th-hour deal Tuesday to stay open, at least for now.

After two long delays at a morning hearing in bankruptcy court, attorneys for Sears announced it had accepted a revised bid from a hedge fund controlled by Eddie Lampert, the chairman and former CEO of Sears. The deal would keep 425 of the stores open.
=============================================================
Certainly welcome news for a lot of their employees. Let's hope they recover & develop a winning business plan.

I remember when Best Buy beat them to a pulp.

 

[Cephus]

Round these parts, you used to have to go about 15 miles to get to Sears...and you did. Today...leaving my house there is in order a CAL Ranch Hardware Store, a Home Depot, Walmart, Kohls, Lowes, Ross, Military Base with BX, an ACE hardware store, a recently shutdown k mart, a Target, another Kohls, another Home Depot, a Sams Club, A Wal mart, A whole bunch of outlet stores, And finally an RC Wiley Furniture Store. Across the street from the Mall (right instead of left) is a COSTCO.

Im sorry...why was I driving to Sears again???

Especially since Sears never has anything I want anyhow. The last time I was in a Sears was many years ago when I walked in for something they should have had on the shelves and they didn't. I went to Walmart and there it was. So why bother with Sears? In order to get to the closest Sears, I have to pass *4* Walmarts! And 3 Targets. And 3 Home Depots and 3 Lowes and a ton of other stores. What is it that Sears has that I can't get closer and likely cheaper? I honestly don't know. And we just saw that the local K-Mart is going under. Because the place has been empty and looked like a bomb went off in there for years. It's why we don't go there. Why should we?

 

[Roadvirus]

https://www.cnn.com/2019/01/08/business/sears-future-bankruptcy-delay/index.html

White Plains, NY (CNN Business)Sears was facing the possibility of shutting down, until it reached an 11th-hour deal Tuesday to stay open, at least for now.

After two long delays at a morning hearing in bankruptcy court, attorneys for Sears announced it had accepted a revised bid from a hedge fund controlled by Eddie Lampert, the chairman and former CEO of Sears. The deal would keep 425 of the stores open.
=============================================================
Certainly welcome news for a lot of their employees. Let's hope they recover & develop a winning business plan.

Trying to keep Sears alive is like putting a person who has been dead for hours on life support.