In an effort to improve its financial position, Sears Holdings has reached agreements to extend a portion of its secured loan facility and annuitize its pension obligations.
Sears Holdings has named a new chief financial officer as officials with the retailer provided an update on its plan to turn around the company’s ailing fiscal health.
Some housewares suppliers continue to ship Sears and Kmart, while others have ceased sending products to the troubled retailers, vendors across multiple product categories told HomeWorldBusiness.com.
For the second time in less than a week, Sears Holdings has entered into a secured loan facility with the funding deriving from an investment company owned by its CEO.
A report Friday, October 21, in the Wall Street Journal that toy vendor Jakks Pacific Inc. has stopped shipping Kmart led the retailer’s parent company to defend how it pays vendors in a blog post on the Sears Holdings website. In a quarterly conference call, Jakks officials said concerns over Kmart’s fiscal health led to the decision.
As Sears Holdings continues working to overcome slumping sales at its Sears and Kmart stores, the company is facing the possibility of a bankruptcy filing within one to two years, TheStreet.com has reported, citing information from Fitch Ratings.