Sears to spin off some stores, reports 4Q loss
In this Feb. 22, 2012 photo, shoppers enter a Sears department store location in Dedham, Mass. Sears Holdings said Thursday, Feb. 23, 2012, it will separate its smaller hometown stores, outlets and some hardware stores in a deal expected to raise $400 million to $500 million as it seeks to regain profitability and market share. (AP Photo/Steven Senne)
HOFFMAN ESTATES, Ill. - Sears Holdings says it will separate its smaller Hometown and Outlet stores as well as some hardware stores in a deal expected to raise $400 million to $500 million as it seeks to regain profitability and market share.
The operator of Sears and Kmart also says will sell 11 stores to General Growth Properties for $270 million.
The disclosures come as the Hoffman Estates, Ill.-based company says it swung to a loss in the fourth-quarter while revenue fell 4 per cent to $12.48 billion. Adjusted earnings totalled 54 cents per share, below analyst expectations.
Led by billionaire investor Edward Lampert, Sears has suffered losses as consumers turn elsewhere. It has sought to improve results by cutting jobs and costs and closing underperforming stores.
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