America’s shrinking Sears has announced the planned closure of another 63 stores as it battles to continue trading.
Of the latest batch, 45 stores are Kmarts and the balance Sears branded. Located mostly in the midwest and south of mainland US, they will close in January, after the Thanksgiving and Christmas trading seasons.
“Sears Holdings continues its strategic assessment of the productivity of our Kmart and Sears store base and will continue to right size our store footprint in number and size,” the company said in a statement.
“In the process, as previously announced we will continue to close some unprofitable stores as we transform our business model so that our physical store footprint and our digital capabilities match the needs and preferences of our members.”
US analysis website Retail Dive observed that while most department stores have closed stores this year, “Sears, with nearly 400 stores slated to shutter, has been doing it at a clip that outpaces its peers. In just a few years, the company’s footprint has shrunk to a fraction of what it was when the decade began.”
Retail Dive said the closures represent “a furious effort to cut costs and rightsize as the company’s sales base shrinks”.
“The once-dominant retailer has also shed corporate staff and sold off brands and property. Yet, it continues to lose money, albeit at a slower rate.”