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Riefs said store associates that are eligible will receive severance and have the opportunity to apply for open positions at area Sears or Kmart stores.
Sears stores, which serve a variety of products including clothing, home appliances, tools and equipment, are struggling across the country, with total revenue for Sears Holdings falling 13 percent to .03 billion since the third quarter of last year, according to the company’s most recent financial report. Sears Holdings also has significant debts including an unfunded pension and post-retirement obligation of .1 billion.
The company has staved off death by borrowing money, but how long can that last? 28 at .18 and rallied on the news of the new line of available borrowing to close the next day at , a 10% gain. The company posted a loss of 8 million in its fiscal third quarter this year, up from a 4 million loss in Q3 2015.
News that Sears Holdings had lined up a new credit facility sent shares of the company dramatically higher Thursday, Dec. The stock gained on the idea that the company behind Sears and Kmart had bought itself a little time even if the money it now has access to will not cover its 2017 debt-servicing needs. In addition, revenue dropped by 1 million in Q3.
The struggling retailer said it has received loan, called a secured letter of credit, for 0 million, with an option to expand the amount to as much as 0 million with the consent of lenders.
Affiliates of ESL Investments Inc., the hedge firm run by Lampert, is providing the funding through Citigroup Inc.
"I go to other stores, but I always come back here.
Sears Holdings, as it currently stands, still has assets and it can forestall its death, but that end still seems to be just a question of time.
It's hard to know exactly how much those brands and services are worth, but Craftsman alone could fetch as much as billion, according to an October Bloomberg article.
At that time, there were reportedly multiple companies interested, with bids expected in November.
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-- a firm run by Lampert, which is providing funding through Citigroup.