Sears 'Will Consider All Other Options' If Refinancing Fails, CEO Eddie Lampert Warns
Sears Holdings Wednesday cautioned that it will register a fourth-quarter net loss after a rough holiday shopping season, reports USA Today (Jan. 10, Bomey), as the department-store operator continues store closures and cut cuts. Sears CEO Eddie Lampert wrote in a blog post that if the company cannot refinance certain debt to get more financial breathing room, leadership "will consider all other options to maximize the value of Sears Holdings' assets." The retailer is eager to renegotiate $1 billion in debt by extending due dates and overhauling other terms. "That would allow the company to "unlock value in our other brands and major assets, including Kenmore, DieHard, Sears Home Services, Sears Auto Centers, and our real estate portfolio," Lampert commented. Among the most vocal critics has been Philip Emma, senior retail analyst at Debtwire. Bankruptcy is "not unrealistic" if the company can't renegotiate debt terms, he warned.
Abstract News © 2018 INFORMATION, INC.