Sears ponders more changes
Sears has long been one of the biggest names in American retail, but its struggling to turn things around and pondering some major changes.
According to USA Today, the retailing giant might separate its Lands' End and Sears Auto Center businesses from the rest of the company. Sears is also planning to close more of its unprofitable stores.
Sears Holdings has been working for some time to cut costs and lower its debt. The company said Tuesday that it would likely pursue a spinoff of Lands' End and not a sale. The retailer also said that it has already started repositioning Sears Auto Center around services other than tires and is evaluating strategic options for the business.
Timing will play a key role in some of the decision. The paper also reports that Sears is looking to close money-losing stores, with leases that are set to expire. The company would take the capital from those location and redeploy it elsewhere.
The Hoffman Estates, Ill., company has announced that its third-quarter sales at stores open at least a year fell 3.7 percent. The figure dropped 4.8 percent for Sears locations and declined 2.6 percent for Kmart stores.
Sears has nearly 2,500 stores in the United States and Canada.