12,000 jobs may not sound like much but that's roughly how many jobs Canada adds to its economy each month. Only in this case, that's how many workers are about to find themselves without a job because overnight Sears Canada announced plans to liquidate its remaining 150 stores instead of restructuring, the latest admission of brick and mortar defeat in the war with Amazon, with the result some 12,000 job losses in the coming weeks.
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Statement - Tuesday - Chain - Creditor - Protection
In a statement filed on Tuesday, the Toronto-based chain, which filed for creditor protection in June, listing liabilities of C$1.1 billion, said it would seek court approval for the filing on Friday and begin liquidation sales at its remaining stores on Oct. 19 at the earliest. The terminal decision follows a last-ditch attempt by executive chairman Brandon Stranzl, backed by Blackstone Group LP, to put together an offer to save the retailer. However, as Bloomberg reports, Sears Canada failed in this Hail Mary approach and the company said it didn’t receive a viable bid to keep the stores operating as a going concern. This means that whereas Sears had been gradually closing its 225 stores, it will now accelerated the move, potentially closing all remaining stores in the coming days.
The liquidation will hardly come as a major surprise:
Sears - Canada - Consistent - Brand - Customers
Sears Canada has struggled to provide a consistent, appealing brand to its customers across all of its channels, including its website, social media and physical stores, he said. The company has reported nine years of sales declines and years of losses, according to data compiled by Bloomberg.
The Canadian version...
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