Sears posts decline in 3Q revenue due to store closures
NEW YORK (AP) — Sears says it has a deal with the federal pension insurance agency to release 140 properties from certain restrictions in exchange for $407 million in pension contributions, some relief for once-storied department store chain.
The Hoffman Estates, Illinois retailer, which operates Sears and Kmart stores, says it expects net losses for the third quarter to improve by $190 million and that it hit its $1.25 billion target in cost savings for 2017. The company continues to close underperforming stores and sell assets in an attempt to remain afloat.
Sears expects about $3.7 billion in revenue for the third quarter, down from $5 billion a year ago, mostly due to store closures. It lost $2 billion in 2016.
The deal with the pension fund is expected to close in three months.