INQUISITR.COM / Health & Lifestyle

Sears Kmart Closings: 78 Stores Slated To Close Nationwide

By Tara Dodrill
Published on: 04:11 PST, Apr 23, 2016

Sears and Kmart closings now total 78 stores around the country. On Thursday, Sears Corporation announced store closings for the second time this year, citing once again the need to shutter unprofitable locations. Hundreds, possibly thousands, of American workers will soon be out of a job.

A grand total of 68 Kmart stores and 10 Sears stores will unplug their cash registers and hand out pink slips later this summer, according to a USA Today report. As previously reported by the Inquisitr, Sears announced the company would be closing only 50 stores due to lower than expected profit margins.

Store closing, or liquidation sales, will begin at Kmart stores on May 12 and at Sears locations slated for closure on April 29. Most, if not all, of the Sears and Kmart stores on the closure list will lock the doors one final time by the end of July.

The corporation previously said they have no intention at all of borrowing any more money to offset the losses at unprofitable stores. The Kmart and Sears store closings are expected to give the company more financial flexibility to bolster their online shopping model and “transition from a traditional network based model to a more asset light member-centric integrated retailer,” and to enhance the “Shop Your Way” program offered at both Kmart and Sears locations. Some Sears stores have now added an online ordering and curbside pickup program.

Sears Holdings struggled during the final quarter of 2015, the Atlanta Journal Constitution reports. Sales dropped down to $796 million compared to the fourth quarter profits of 2014. In all, the Sears and Kmart company saw its revenue fall from approximately $31.2 billion in 2014 to around $25.1 billion in 2015. The company has announced multiple store closings over the course of the past several years.

Here’s an excerpt from a press release by Sears CEO Edward S. Lampert about the store closings.

“The decision to close stores is a difficult but necessary step as we take aggressive actions to strengthen our company, fund our transformation and restore Sears Holdings to profitability. We’re focusing on our best members, our best categories and our best stores as we work to accelerate our transformation.”

The company statement also said corporate officials believe the money saved from closing the 78 Sears and Kmart stores, along with the funds accrued during the liquidation sales, building sales, and $1.2 billion in debt financing, will ultimately make Sears Holdings stronger. The noted primary objective of the corporation is to initiate “important steps” in an effort to “restore profitability.”

Lampert also said the Sears corporation is in a state of evolution and will “transform” its stores to better adhere to the way modern day customers want to shop.

“Through our continued investments in Integrated Retail, our stores are a critical component of our strategy as we provide our members with industry-leading innovations such as Meet with an Expert, In-Vehicle Pickup and Return and Exchange in Five,” the Sears Holdings CEO added.

Kmart is closing stores in multiple states, including Ohio and Illinois. Announced locations where Kmart stores will be closing include Chicago, Danville, Galesburg, Lansing, Pekin, and Rock Island, Illinois. In Ohio, Kmart stores will be shuttering in Springboro, Ashtabula, Eaton, Lima, Fremont, and Lorain. A Sears store in Marion will also be shutting down.

Kmart stores in Pennsylvania which have been added to the closings list include locations in Beaver Falls, Philadelphia, Reading, Uniontown, and two locations in Pittsburgh, Newsmax reports. In Pennsylvania, Kmart will close stores in Beaver Falls, Philadelphia, Reading, and Uniontown, as well as two in Pittsburgh.

[Image by RMNOA357/Shutterstock.com]

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