American Amazon of the 1930s plans to file for bankruptcy
In recent days, Sears Holding has contacted banks to obtain the financing needed to file for bankruptcy. The company has 134 million dollars to repay, which it may not be able to return.
The last profitable year for a retailer was 2010. Analysts say that Sears would need to generate more than $1 billion a year to stay in business as its sales continue to decline. The company currently has less than 900 stores throughout the United States and employs less than 90,000 people.
Sears has been in survival mode for more than a decade. Since the merger with Kmart, Sears has separated Lands’ End, sold the Craftsman brand of tools to Stanley Black & Decker and closed down hundreds of stores, 250 of which he contributed to a real estate investment fund known as Seritage.
The measures taken so far to sell the best assets to repay the debt have left the company with little money to reinvest the stores. These activities resulted in empty shelves as key suppliers fearing the future of Sears demanded stricter payment terms.