David Livingston

Numbers Check on Sears Holdings - It's Cheap

Don't belive any numbers in the 10-k. The Sears and Kmart parking lots are dead. They don't even turn on the outside lights at night. They have the employees parking in front of the store now to give the impression that customers are in the store. Real estate? Those blighted buildings in B locations that will sit empty for years. My clients tell me the only thing worse than being located with a closed Kmart is being located with one still open. Some call it the Kmart jinx. Consumers have trained themselves to avoid Kmart and Sears locations. When another retailer takes over, consumers seem to still avoid the location, therefore making the real estate worthless.