Hillsworth's Net Loss Of $296 Million Depends On Operating Real Estate.

Sears Holdings Corp., the US Department Store giant, announced on Thursday that it will accelerate the closure of 235 poorly performing stores this year, which is more than 100 more than previously announced.

Hirsch said closing these stores is expected to help tax breaks and profits before amortization (EBITDA) soared by around $50 million. But Scott Tuhy, an analyst at Moody, thinks that this measure can only help companies with a deficit of around $300 million, which is only a drop in the bucket for the current hills.

As of November 11th this year, the overall loss in the third quarter of hillsworth reached US $548 million, up from US $534 million in the same period last year. In the quarter, sales fell 7 billion 210 million, or 13%, which is closely related to the sharp decline in the number of stores.

Sears department, founded in 1893, is almost the only choice of the American public in the past one hundred years since its birth. At that time, 3/4 of American consumers would go to hills, and their sales accounted for 1% of GDP in the US. But the rise of online shopping has led to the dismal operation of this department store in recent years, and its inexperienced current Eddie Lampert (CEO Eddie) has also been criticized in recent years.

Eddie Lambert is a billionaire who is a hedge fund maker. He had no experience in retailing before he took charge of Sears. Five years ago, Lambert abandoned the traditional retail business model and split up 30 Bussiness Unit projects, which failed to work.

Brian Sozzi, an analyst at Belus Capital Advisors, said that hillsworth may still need to close more than 200 stores in 2015.

Recently, Sears announced that its adjusted net loss was $296 million, a slight decrease over the same period last year of $310 million. In response, Eddie Lambert said in a conference call that this "improvement trend" is expected to continue in the fourth quarter.

A large number of holding shop deed may provide an opportunity for him to turn over. Tuhy said that sears not only can sell these sites for profit, but also because it has many stores' long-term lease, and the cost of the Sears shop is not high and flexible.

Sears has 1050 locations in the United States. Kmmat store (Kmart), as well as 781 hillside department stores, 700 of which belong entirely to hills.

In November, Hills It has said that it is considering transforming hundreds of its stores into REIT to raise its financial position. If the plan is to be implemented, Sears keeps 400 to 500 stores and then renting 1300 to 1400 stores to make profits.

In fact, in October this year, Sears had 7 homes. store It was leased to European retailer Primark. It also rented the store to clothing retailer Forever 21 and organic food retailer Whole Foods.

"They are more and more concentrated in the real estate business." Tuhy said.