Sears prepares for bankruptcy
The once bustling company Sears appears to have taken a turn for the worst and has hired M-III Partners LLC to handle a bankruptcy filing with the court as early as next week.
As the WSJ reports:
Employees at M-III Partners, a boutique advisory firm, have spent the past few weeks working on the potential filing, the people said. In recent days, M-III staff have been at the retailer’s headquarters in Hoffman Estates, Ill., one person said. Sears continues to discuss other options and could still avert an in-court restructuring, the people added.
Sears, which has been losing money for years, has $134 million in debt due on Monday. Edward Lampert, the hedge-fund manager who is Sears’s chairman, chief executive, largest shareholder and biggest creditor, could rescue the company, as he has done in the past by making the payment.
Traditional brick and mortar stores are having a tough time in today’s day and age competing with online sales. However, it makes you wonder why the once successful mail order company couldn’t figure it all out in time.