Kmart has closed more than 300 stores since 2011, taking the total number of stores from more than 1,300 to only 979 as of January 1, 2015. The Kmart closings are part of a larger cost-saving effort from Sears Holdings, the company that owns both Kmart and Sears stores.Continue Reading
During 2014, Sears Holdings closed more than 200 of the approximately 1,900 Kmart and Sears stores across the United States, and it is set to close another 235 stores during 2015. The main reason for closing the stores was rapidly declining sales, according to Sears Holdings CEO Eddie Lampert. The company has reported declines in sales for the past 31 quarters, which have seen the company lose more than $7 billion in four years. Kmart itself posted losses of $296 million in 2014, while Sears Holdings lost a total of $1.7 billion.
Sears Holdings was formed in 2005, after Kmart purchased Sears for $11 billion. The Kmart chain of stores was founded in 1962, and as of May 2015, it was the third largest discount retail chain in the world, behind only Walmart and Target. In addition to the United States, Kmart also operates stores in Guam, Puerto Rico and the U.S. Virgin Islands.Learn more about Corporations