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jasonrothman1

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  • J.C. Penney And Sears: More Museum Than Store [View article]
    What crystal ball are you using to predict that? Lampert will be lucky to get that only if he starts to break the company up or liquidate and make some "good" investments with the money.
    Feb 6, 2013. 06:32 PM | Likes Like |Link to Comment
  • J.C. Penney And Sears: More Museum Than Store [View article]
    Doesn't matter how much inventory is "paid for," unless you start to sell or liquidate it, eventually it becomes a liability.

    I haven't heard Lampert or Sears Holdings announce that their stores will turn into "distribution warehouses with only profitable anchors staying open" .....unless you're now in charge of public relations for Sears?
    Feb 6, 2013. 06:26 PM | Likes Like |Link to Comment
  • Does Bruce Berkowitz's Sears Math Add Up? Do Your Own Diligence [View article]
    A) What is an "argument?"

    Some quotes from Dictionary.com:
    1. a discussion involving differing points of view; debate.
    2. a process of reasoning; series of reasons.
    3. a statement, reason, or fact for or against a point.

    I believe the author was just giving another point of view, so that one could "do your own diligence," which means make your own informed decision based on facts from both sides, without missing either ones point.

    B)Those "dealer stores which are independently owned and completely separate from Sears Holdings" are still majority owned or controlled in some way either by shares or product sales (like a franchise) by Sears Holdings (hence the use of "Holdings" in the name), so not "completely separate."

    C)I'll agree the author probably shouldn't have said "definitely not" on monetizing the inventory, but it would seem unlikely due to the "liabilities" that the author layed out a good case for. Plus, Autozone really is a different type of business model, not that Sears doesn't have some components that are similar.

    D)Adam is simply trying to make the point that there are many ways not to "get to financial heaven." Before I make an investment, I want to know the pros and cons, and then "do my own diligence" on what facts are correct or misleading.

    It's fine if you want to follow Berkowitz, but I believe the author eluded to some reasons why you might want to reconsider by stating some ""oversell" their ideas, perhaps in order to generate excitement for their funds and attract investor money." Not that you can't make money doing this since I believe that's how the "rich get richer," but you better make sure they're correct.

    E) Your analogy sounds "cool" but doesn't mean anything in the real world. There are things that are "obvious" in the real world such as your "obese dude," but has nothing to do with investing, because things are almost never "obvious" in that world. Kind of like "comparing apples to oranges." Also, at least the author used some math in his article, I didn't even see first grade math in your response to it.
    Feb 1, 2013. 10:30 PM | Likes Like |Link to Comment
  • Analyzing Lampert's Sears Letter: An Unconvincing Long Thesis [View article]
    Investing in a company and running a company are "two different animals." I wonder if Lampert was "outside looking in" would he consider himself doing a good job running Sears/Kmart or even think about investing in it? Sure, the break-up/sell-off value might have enticed him like it has for Berkowitz, and it is most likely the reason he started this venture to begin with, but I don't believe he'd give himself an A+ grade either. Regardless, he's "all in" on this hand, bluff or not.
    Feb 1, 2013. 09:19 PM | Likes Like |Link to Comment
  • Sears Canada (SHLD) lays off about 700 employees in Canada as the retailer continues to trim its presence in the nation. Efforts to "rightsize" the company will continue, according to execs. [View news story]
    "rightsize"

    Translation: Keep the "execs" and their unwarranted bonuses so they can keep running the company poorly and fire the "employees," who probably have nothing to do or say about the daily operation of the company, that live from one measly paycheck to another because Sears "couldn't afford" (according to execs) a pay raise for at least the last five years from what I've heard from people who work for them.
    Feb 1, 2013. 06:47 PM | Likes Like |Link to Comment
  • Lampert's Active Role At Sears Should Scare Away Some Shorts [View article]
    Lampert's been "focusing on cash flow" for over 10 years now, but the company has been bleeding money ever since. The reinvestments haven't been very fruitful either. He should have reinvested more in the actual company instead of allowing the company and the people working there to degrade.
    Jan 22, 2013. 05:31 AM | Likes Like |Link to Comment
  • A spokesperson for Sears Holdings (SHLD) says the decision to have Eddie Lampert take over as the company's CEO for the outgoing Louis D'Ambrosio was at the direct request of the board of directors. After D'Ambrosio pushed the retailer into new online channels and bet on technology, analysts now wonder if Lampert will move in a different direction to increase the pace of asset sales. [View news story]
    I guess the Unemployment office better get ready for a surge of low-income to middle-class Sears/Kmart workers applying for benefits soon. I hope they are polishing up their resumes.
    Jan 8, 2013. 04:43 PM | Likes Like |Link to Comment
  • Long-Term Sell And Hold In Sears Holdings [View article]
    Sorry, I believe I found the article you're referring to. It only covers "Rating American Workplaces on Lesbian, Gay, Bisexual and Transgender Equality" not employee performance. Big deal, so they equally treat their employees poorly no matter what sexual persuasion they are...lol!
    Jan 8, 2013. 01:34 AM | 3 Likes Like |Link to Comment
  • Long-Term Sell And Hold In Sears Holdings [View article]
    I'm not sure where that article is, but even the Egyptians could get great "performance" out of their slaves as seen by the building of the Great Pyramids, but I doubt they enjoyed doing it....lol
    Jan 8, 2013. 01:16 AM | 1 Like Like |Link to Comment
  • Sears Holdings (SHLD) gives an update to its Q4 and FY12 earnings guidance, saying it sees Q4 EPS coming in at around $1.25 - $2.00, beating consensus estimates of $0.86, on an adjusted EBITDA of $265M - $465M. FY12 EPS is expected to come in at a loss of between $1.16 and $1.92, beating consensus estimates for a loss of $2.66. Separately, the company annnounces that CEO Louis D'Ambrosio will step down due to family health matters at the end of the company's fiscal year on February 2, 2013. Edward Lampert will assume the role of CEO, in addition to his role as chairman. [View news story]
    Another CEO bites the dust. Maybe "upper management (Lampert) was on (Lou) for not performing and executing fast enough." We'll never no for sure if "family health matters" is the real reason for stepping down, but from what I've read he'll leave with almost $10 million in compensation this year for his efforts.
    Jan 8, 2013. 12:31 AM | Likes Like |Link to Comment
  • Long-Term Sell And Hold In Sears Holdings [View article]
    If Macy's doesn't want to stay, it can't be that great a property. Not that there aren't some "prime" locations that Lampert can still extract some value from, but when he first started selling off Kmart properties when he took over Kmart and used the cash from that to buy Sears it didn't leave much valuable property on the Kmart side of the equation, so Kmart will most likely be left to "hang out to dry." Only time will tell if there's still enough "value" there in Sears locations (and leases) to make enough money... I just don't think so.

    It's a tough market for commercial real estate, and not too many companies are expanding in the States. Maybe in Canada like the article mentioned above, and hopefully Target won't start to carry large appliances there because that would further kill Sears/SHOS in Canada, which is already struggling. Also, the "1995 RE cycle" didn't have a country $16 trillion in debt and banks unwilling to make loans. Again, only time will tell.
    Jan 7, 2013. 08:43 PM | Likes Like |Link to Comment
  • Long-Term Sell And Hold In Sears Holdings [View article]
    Here's another Sears property in Colorado that's been closed but owned by Sears. Sears has turned down offers on it, but they're just not getting the numbers they want for it.

    http://noconow.co/UMgadU

    The city is considering using "eminent domain" if Sears won't take the offer. Another way of "unlocking the value" of the real estate? Looks like Lampert's business strategy is working perfectly.
    Jan 4, 2013. 11:36 PM | Likes Like |Link to Comment
  • Long-Term Sell And Hold In Sears Holdings [View article]
    ...while another Kmart store is closing in Chicago and 82 employees are out of jobs...

    http://trib.in/WdyEAW

    "Riefs said the 82 employees, including both full- and part- time workers, were notified of the closing in early November and can apply for positions at other Kmart and Sears stores."

    The operative word here is "apply" at other Kmart and Sears stores. Why not work with the other stores to help them get jobs there for the employees interested in transferring? ...because there aren't any positions available since the Xmas rush is over, and since many have probably been with the company for awhile, why hire someone that's probably making more than minimum wage anyways?

    Also stated in the article, "Heniff said neither the village nor Sears has anyone lined up to replace Kmart yet, but noted that the 10.75 acre site with the 104,000-square-foot building is at "a premier intersection with great traffic volume and great access." Good luck on "unlocking the value" in that piece of real estate anytime soon.

    "Retail" vs "Holdings" - I doubt either will win in the end.
    Jan 4, 2013. 11:10 PM | Likes Like |Link to Comment
  • Long-Term Sell And Hold In Sears Holdings [View article]
    "Big" Lou D'Ambrosio (actually, you're being funny aren't you since he's not that big lol!) has done okay since he came to Sears just under two years ago, but employees at the stores tell me they've seen more and better changes since Ron Boire came onboard at the beginning of 2012 and he has some solid retail experience. Lou seems to be concentrating more on the Shop Your Way Rewards program and technicals and Ron on the actual merchandising. Granted, both are needed nowadays, but you can't lack in one and expect the business to succeed.

    Plus never forget your employees need more incentives other than to say "if you don't like it, there's the door," and I'm not talking about just the top execs getting huge bonuses when the company does bad, which is just wrong. It's not the way companies like Google, Apple, and Microsoft have retained good employees.
    Jan 3, 2013. 06:42 PM | Likes Like |Link to Comment
  • Long-Term Sell And Hold In Sears Holdings [View article]
    I guess depending on how one uses the terms "fired" or "resigned" Best Buy CEO G.Mike Mikan may have been fired and replaced since Best Buy hasn't done well under his rule. Probably a better fit for ESL though, but I doubt it'll help Sears (retail side). The following quote from an article link below may have something to do with it.

    http://bit.ly/VC921y

    "He was well-versed in accounting and finance issues, but Mikan had little retail or online experience, and eventually Best Buy chose as CEO Hubert Joly, a Carlson Cos. executive."
    Jan 2, 2013. 07:45 PM | Likes Like |Link to Comment
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