After closing more than 350 Sears and Kmart stores in 2017, the struggling retailer announced on Thursday that it will shut an additional 45 Kmart and 18 Sears stores in late January 2018.
In a filing with the Securities and Exchange Commission Sears Holdings said it had “substantial doubt” about its ability to stay in business unless it could borrow more and generate additional cash from its assets. The notification was mandatory so businesses would be more transparent about potential risks they face within a year of their reported financial statements.
The company has initiated a turnaround plan aiming to annually cut costs by $1 billion and cut debt by $1.5 billion. They have been thinning out their low-performing stores as well as productive brands such as Craftsman.