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Wed Dec 5, 2018, 05:15 PM

Weaker Sears holiday forecast heightens doubts about survival

Revised internal forecasts show that Sears Holdings Corp. will bleed hundreds of millions of dollars more than it expected over the coming weeks, casting new doubt on whether the bankrupt retailer can avoid liquidation.

When the company declared bankruptcy Oct. 15, it filed a budget with revenue forecasts of $241 million for the week of Christmas and $1.93 billion for the two months ending Jan. 12. But an updated budget filed Friday shows only $215 million the week of Christmas and $1.69 billion for the entire two months, almost $246 million less than originally projected.

Sears also now expects negative operating cash flow in the weeks leading up to Christmas and net cash flow before financing of minus $434 million for the 13 weeks through Feb. 16. The revised figures were included in documents filed late last week with the federal bankruptcy court handling the case. A Sears representative declined to comment.

“There’s no place in the world for a retailer who can’t produce cash flow during Christmas,” said Noel Hebert, a credit analyst who covers Sears for Bloomberg Intelligence. “It’s very difficult to envision a scenario where liquidation isn’t the end game.”

https://www.msn.com/en-us/money/topstocks/weaker-sears-holiday-forecast-heightens-doubts-about-survival/ar-BBQwVXg?li=BBnbfcN

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Reply Weaker Sears holiday forecast heightens doubts about survival (Original post)
Yo_Mama_Been_Loggin Wednesday OP
SCantiGOP Wednesday #1
mwooldri Wednesday #2
LisaM Wednesday #3
justhanginon Wednesday #4
callous taoboy Wednesday #5

Response to Yo_Mama_Been_Loggin (Original post)

Wed Dec 5, 2018, 05:22 PM

1. Sears is taking longer to die

Than Generalissimo Francisco Franco, who is still dead.

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Response to Yo_Mama_Been_Loggin (Original post)

Wed Dec 5, 2018, 05:28 PM

2. Sears are selling off their assets.

Sears is a big player in the home improvement market - for major projects like new windows, roofs, siding, kitchens and bathrooms. This part of Sears business is in the process of being sold off.

I expect Sears to come out of bankruptcy as an intellectual property company. They have some good brands and there's plenty of the business that is viable. However the Sears-KMart merger was IMO a disaster, coupled with an asset stripping way of raising revenue for shareholders rather than working out that sales are going online and that retail has to become an experience event rather than a transaction event.

Amazon could save Sears but not without a lot of bloodshed.

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Response to Yo_Mama_Been_Loggin (Original post)

Wed Dec 5, 2018, 05:32 PM

3. Damnit, I liked Sears.

I always got lawn mowers and washer/dryers there, and after they acquired Lands End, I bought clothes there. Also bought tools. It pisses me off that it was purposely run into the ground (along with KMart, where I also shopped till they closed our local store).

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Response to Yo_Mama_Been_Loggin (Original post)

Wed Dec 5, 2018, 05:41 PM

4. In case anyone is worried, no Eddie Lamperts

were harmed in the making of this disaster. Sears employees did not and will not fare so well!
Greedy bastard!!!!!!!!!!!!!!!!!!!!!!!!

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Response to Yo_Mama_Been_Loggin (Original post)

Wed Dec 5, 2018, 05:44 PM

5. I had a bad experience with Sears

Bought a Samsung Fridge, didn't get the protection warranty, sucker crappped out on me a few months after warranty expired, and this was after several service calls which were a nightmare to arrange, the service tech was a no-show twice and I had taken the day off from work both times. I was livid. I finally talked to a big-wig in Houston who did finally make me a deal on a new fridge, but only after I threatened to go to the BBB. Do not ever buy a Samsung appliance or shop at Sears!

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