Chicago, IL – The store that once boasted it was everywhere may be about to disappear permanently. A story March 22 in CNN Money reported that Sears Holdings has warned investors its two major retailers—Sears and Kmart—they may not be in business much longer. A statement in the holding company’s annual report reads, “our historical operating results indicate substantial doubt exists related to the company’s ability to continue as a going concern.”
According to the CNN report, the company lost over $2 billion last year and has not turned an annual profit since 2010. Since that time, the company’s losses have totaled $10.4 billion.
In a statement cited in the story, “Sears Holdings said its ability to sell assets, such as stores and store leases could be limited because it needs those assets to pay for pension plans. In January Sears sold its Craftsman brand of tools to Stanley Black and Decker. It is looking to sell Kenmore appliances and Diehard auto parts.”
Earlier this year Sears Holdings announced plans to close 150 stores nationwide. A Kmart located in Baltimore was the only Maryland store on the list.
Sears stores are currently located in Waldorf and Bowie. A Sears Hometown store and a Kmart store are located in Prince Frederick.
The CNN story cites competition from low price retailers such as Walmart, big box stores like Home Depot and the rise of online shopping as contributing components to the decline of Sears and Kmart.
Contact Marty Madden at marty.madden@thebaynet.com