Sears Closing 100 Stores, Laying Off Over 5,000 Workers

Before you go, we thought you'd like these...
Before you go close icon
A Sears retail store.
Alamy
By Sruthi Ramakrishnan

Struggling retailer Sears Holdings (SHLD) will lay off at least 5,457 employees and close over 100 stores, many before Christmas, according to a Seeking Alpha report citing liquidation notices and employees.

Sears shares rose 4.6 percent to $36 in premarket trading.

At least 46 Kmart stores, 30 Sears department stores and 31 Sears Auto Centers are scheduled to close before the end of January, the report said.

Sears officials weren't immediately available for comment.

The company, which is struggling to reduce costs as its sales dwindle, closed 75 Kmart stores and 21 Sears stores in the first half of 2014.

It said last week that it would lease out seven stores, including the one at Pennsylvania's King of Prussia Mall, to discount fashion chain Primark for an undisclosed amount.

Sears had 1,077 Kmart stores and 793 Sears stores in the United States as of Aug. 2. The company had 226,000 U.S. employees as of Feb. 1.

5 PHOTOS
6 Retailers Where You Should Never Pay Full Price
See Gallery
Sears Closing 100 Stores, Laying Off Over 5,000 Workers

There's a sale at Penney's!

Yes, the deals are back with a vengeance at J.C. Penney (JCP) after the "fair and square pricing" experiment turned into a debacle. In August alone, there were more than 20 sales and coupons. Some of these were specific to product lines, but there were plenty of across-the-board sales, including a 20 percent-off online sale, a $10-off-$25 apparel coupon, and a 25 percent off sale that was good in-stores and online. In fact, more than half the days in August saw some kind of universal sale at the retailer. And even when there wasn't a big sale or coupon, there were also a number of department-specific sales, including a sale offering 40 percent to 50 percent off in the bedding, bath, window and luggage departments.

Dealnews confirmed what my inbox already told me: Banana Republic has a lot of sales, and they're usually very good. In July, for instance, it had five sales that all offered between 30 percent and 40 percent off.

Yes, sometime there's a lull of a week or so, but the magnitude of the discounts means it's almost always worth the wait. Sure, if you urgently need a new shirt for a job interview, you might have no choice. But if it's not a clothing emergency, why spend $100 when you can wait a few days and spend $60? 
The Gap is owned by the same company as Banana Republic, and it shares its enthusiasm for sales: Over a two-month period, it had nine sales that applied to all or most regularly priced items, so you're rarely more than a week away from a sale there. Discounts tended to fall in the 30 percent to 40 percent off range.

And what of Old Navy? The third of the Gap brands is also the cheapest, and that's probably why it's less keen on having big sales that take 40 percent off everything in the store. There were a few sales in the 20 to 30 percent-off range, but in general, the sales we saw were of the "up to 40 percent off activewear" variety. You can wait around to see if something you want goes on sale, but otherwise you might as well just take advantage of the already-low prices here.
HIDE CAPTION
SHOW CAPTION
of
SEE ALL
BACK TO SLIDE
Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners