Hoffman Estates, IL—There was plenty of hype around Sears and Kmart stores during Black Weekend, but the news 10 days later isn’t so upbeat. The struggling retailer evidently plans to close even more stores by the end of the year.
After suffering from gigantic losses, Sears Holdings is hoping to cut costs by shutting down some 235 stores and laying off nearly 6,000 employees as a result. According to The New York Post, a combination of ebbing business levels and fewer customers are to blame for the persistent economic challenges.
In its most recent earnings report, Sears Holdings reported an adjusted net loss of $296 million. Originally the retailer planned to shut 130 stores now that number is at least 235 shut by the end of the year.
Some analysts said the chain needs to close even more stores—and figure out how to become profitable. Last month, Sears said it is considering converting hundreds of its stores into a real estate investment trust to boost its finances.