Sen. Elizabeth Warren singles out Steve Mnuchin for criticism in the retailer’s woes05/24/2019 | ConsumerAffairs
Democratic presidential hopeful Sen. Elizabeth Warren (D-Mass.) is putting some heat on Treasury Secretary Steven Mnuchin, citing his time on the board of directors of Sears Holdings, as the retailer sold off assets in a bid to stay afloat.
Mnuchin served on the Sears board until 2016, when he resigned to assume a post in the incoming Trump administration. Prior to that, Mnuchin had a close friendship with Sears Chairman and CEO Eddie Lampert and had been Lampert’s colle...
The long Sears saga continues in court04/19/2019 | ConsumerAffairs
Long before Sears declared bankruptcy and was eventually sold at auction, some stakeholders were eyeing its chairman and CEO, Eddie Lampert, with an increasing amount of skepticism.
Now, some of them are suing Lampert, charging the executive took actions that hastened the retailer’s demise. Lampert, and his hedge fund ESL Investments, purchased the remaining Sears assets for $5.2 billion at a bankruptcy auction in February.
The suit was filed by the Sears Holdings’ team t...
Craftsman tools use parts from many countries, suit charges12/08/2004 | ConsumerAffairs
By Unknown Author
A class action lawsuit against Sears, Roebuck and Co alleges that Sears conducted false advertising and consumer fraud by advertising that its Craftsman tool line is "Made in the USA."
The suit alleges that promotions in ads, the website, on signs and labels claiming that Craftsman is "Made in the USA" led consumers to purchase the tools out of a sense of patriotism. Consumers were also led to believe that Craftsman is of high quality because it is "Made in the USA."
By Unknown Author
WW, a former Sears employee, writes: Next time you're in Sears or another store buying appliances or electronics, watch out when you hear: "This product is also eligible for our 3 year Maintenance Agreement program which covers repairs and replacements for any damages due to wear and tear, and includes an annual preventive maintenance check all of which will save you the expensive cost of repairs and give you peace of mind....."
You will often hear this during a sales pre...
Creditors claim Lampert is to blame for the retailer’s demise01/18/2019 | ConsumerAffairs
If the television networks ever run out of material for soap operas, maybe they can just televise the Sears bankruptcy saga, which has so far been filled with plot twists.
Former Sears Holdings CEO Eddie Lampert and the hedge fund he controls, ESL Investments, finally prevailed with a $5 billion offer to take over what’s left of the company and keep 400 Sears and Kmart stores open.
But not everyone is happy. The unsecured creditors who are still owed money have filed a mo...
It's probably cheaper to pay for repairs yourself10/29/2013 | ConsumerAffairs
By Jennifer Abel
There’s always been wide disagreement about whether consumers who buy major appliances should also pay extra for “extended warranties,” “maintenance agreements” and similar insurance-ish policies.
The argument against it usually boils down to, “A good appliance shouldn’t need protection beyond the standard warranty and return policy anyway.” The arguments in favor are similar to any pro-insurance attitude: “Better to spend a little money now, just in case something expe...
The retailer is closing more stores to cope with mounting losses12/09/2016 | ConsumerAffairs
Sears Holdings, which operates both Sears and Kmart department stores, reported third quarter earnings that were a disappointment to just about everyone, including Sears Holdings executives.
The company reports a net loss in the third quarter of $748 million. In the third quarter of 2015, the company lost $454 million.
While all brick-and-mortar retailers have struggled with the changing consumer landscape, Sears appears to have had a particularly hard time coping.
The company’s CEO says the retailer has been ‘fighting to survive’07/03/2018 | ConsumerAffairs
At the end of May, Sears announced that it would be closing 63 stores from a total of 100 underperforming stores. Now, the retailer has added ten more Sears and Kmart stores to its list of locations slated to shut down in September.
Sears Holdings said it told employees last week that it would be closing an additional nine Sears stores and one Kmart in late September. Liquidation is set to begin as early as July 13.
In total, 62 Sears and 16 Kmart locations were identifie...
The move is seen as the latest effort to keep the company solvent04/24/2018 | ConsumerAffairs
Struggling retailer Sears Holdings just may have bought some time. Eddie Lampert, the company's CEO, has offered to purchase the retailer's more valuable parts through a hedge fund he heads.
The result could be a leaner operation with more cash and less debt. Sears Holdings has announced the receipt of a letter from ESL Investments that lays out the proposal.
The letter suggests that Sears Holdings, which operates Sears and Kmart stores, should sell all or a portion of it...
The company will close another 142 stores10/15/2018 | ConsumerAffairs
With a huge debt payment just hours away, Sears Holdings -- the company that operates Sears and Kmart stores -- filed for Chapter 11 bankruptcy protection early Monday.
The company said the move was made possible by an agreement among its lenders who are owed billions of dollars to give the venerable retailer one last chance to become solvent. Later today, Sears Holdings was scheduled to make a $134 million dollar debt payment. Bankruptcy protection will allow Sears to r...
The company is reportedly struggling to secure needed financing11/09/2018 | ConsumerAffairs
Sears Holdings, the parent company of Sears and Kmart stores, continues to get smaller.
The company has announced it is closing an additional 40 stores by early 2019. That's in addition to the 142 unprofitable stores it expects to close before the end of this year.
The venerable retailer filed for bankruptcy protection last month after shrinking its footprint to just 700 stores. The footprint will get smaller, however, as the company desperately seeks additional capital t...
The retailer says it has identified 100 more unprofitable locations05/31/2018 | ConsumerAffairs
Sears announced Thursday that it will be closing another 63 stores “in the near future.”
More closures could be on the way, as the retailer indicated that the 63 stores it plans to close are among a list of 100 unprofitable locations.
In January, the retailer announced that it would be shuttering 150 unprofitable Sears and Kmart locations. A few months later, the company said in an SEC filing that there was “substantial doubt” that it could continue operating unless it...
The company is opening a new Appliances and Mattresses concept store in Texas06/23/2017 | ConsumerAffairs
There are many out there questioning Sears’ ability to survive in the retail market, including executives from Sears itself.
Further evidence of the retailer’s struggle surfaced in an announcement made Thursday, which detailed the closing of 20 more stores in several different states. The decision to close these locations brings the total number this year to 235. According to Business Insider, the total number of stores has diminished to 1,180 from 2,073 five years ago.
Sears’ former CEO will bid to keep stores operating but will have to compete with others who only want its assets01/11/2019 | ConsumerAffairs
It’s likely to be an anxious weekend for as many as 68,000 Sears and Kmart employees as their jobs continue to hang in the balance. But late week events make their prospects appear a little brighter.
After all, at mid-week, their company Sears Holdings petitioned a bankruptcy judge to let it close its remaining stores and liquidate its assets, saying former CEO Eddie Lampert’s $4.4 billion offer to buy the remaining assets wasn’t good enough.
But Lampert has raised his bi...
A once dominant department store chain continues to shrink08/23/2018 | ConsumerAffairs
Sears Holdings says it will close an additional 46 Sears and Kmart stores by November. Sears has shuttered about 400 U.S. locations in the last 15 months as it continues efforts to stem a rising tide of red ink.
In May, Sears announced the closing of 63 stores and hinted that more closings could be announced later this year. That hint became a reality today.
"We continue to evaluate our network of stores, which is a critical component to our integrated retail transformati...
The retailer is reportedly auctioning off some closed stores04/11/2018 | ConsumerAffairs
Consumers may find clothing, self storage, and even groceries in spaces once occupied by Sears. The struggling retailer is reportedly auctioning off several of its recently-closed locations in an effort to raise much-needed cash.
A report by The Wall Street Journal says a commercial real estate firm has been retained to sell about 16 Sears locations in an online auction. According to CNBC, most are part of shopping malls located in Texas, Missouri, Indiana, Ohio, and Mic...
The company continues its 'transformation' effort to return to profitability08/25/2017 | ConsumerAffairs
It’s been a year full of downsizing and cost cutting for Sears Holdings. In January, the company announced that it would be closing 150 Sears and Kmart locations. A couple months later, officials said in an SEC filing that there was “substantial doubt” that the business could continue unless it found a way to raise additional capital.
Only one month later, Sears opted to close another 50 auto center locations and 92 Kmart pharmacy operations, with CEO Edward S. Lampert s...