BULRUN100

The Short Story on Sears and Blockbuster

Monday, June 2, 2008
Berkowitz Buys Sears Call Options

Kudos to Concentrated Value for the pickup

Bruce Berkowitz of the Fairholme Capital picked up call options on Sears Holdings (SHLD) shares. He hold options on 354,000 shares having a current value of $28.3 million.

The options are at the $80 strike price and if exercised would increase Berkowitz's position by 39%.

The options were purchased between the Feb. and the May filings

The Short Story on Sears and Blockbuster

THE SHORTS WILL PAY AND PAY DEARLY.AS THE SHARE COUNT FALLS AND ECONOMY RECOVERS THE SHARE PRICE WILL BE A ROCKET.EVERYONE IS COMPARING THE COST NUMBERS TO SHLD'S WHICH IS RIDICULIOUS.FOR TWO REASONS. ONE IS A GREAT RETAILER THE OTHER IS AVG AT BEST.ONE SELLS GAS HELLO!!!!!WHICH PADDED ITS SALES AND COMPS.IF PEOPLE ARE GOING TO COMPARE PLEASE COMPARE FAIRLY.