Joined: 04 Jul 2003
Posts: 55
| Posted: Thu Jul 17, 2003 12:14 am Post subject: Did anyone else see? | |
| I was talking to a former employee, who moved on to better things, this morning, and she told me that she saw aaa CNN finicial report on TV, and they were predicting that Sears would be the next major retailer to file for chapter 11, and looked for them to do so around the first of the year. Did anyone else see this report? | |
Joined: 04 Jul 2003
Posts: 1416
Location: Indianapolis, IN
| Posted: Thu Jul 17, 2003 12:26 am Post subject: | |
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Did not see it but will be looking for it now - guess now is the time for me and MrDD to sell
MrsDD |
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Joined: 07 Jul 2003
Posts: 1037
Location: Formerly 3333
| Posted: Thu Jul 17, 2003 1:33 am Post subject: | |
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DD's.... this is the type of unconfirmed and unfounded rumor that is meant to stir up the troops. Heresay from a former employee? Now there is a very good reason NOT to believe it.
Compare that to what you read in the news for yourself. We sold credit, will retire virtually all our debt and have a few billion left over to reinvest and return to the shareholders. Hardly sounds like Bankruptcy to me. "Footie" |
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Joined: 06 Jul 2003
Posts: 234
Location: Greenville, North Carolina
| Posted: Thu Jul 17, 2003 1:46 am Post subject: | |
| A good way to get news on sears is to simply go to google and type in sears and click on the news tab. | |
Joined: 04 Jul 2003
Posts: 55
| Posted: Thu Jul 17, 2003 3:23 am Post subject: | |||
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Joined: 05 Jul 2003
Posts: 312
| Posted: Thu Jul 17, 2003 4:00 am Post subject: | |
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Hardly sounds like Bankruptcy to me.
"Footie"[/quote] WHAT THEY GOT OUT OF THAT STINKING CARD WANT EVEN BEGIN TO PAY SEARS DEBT.[/quote] Ya cuz after Alan gets his bonus  ,,,, there won't be sh*t left  Right Alan
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Joined: 07 Jul 2003
Posts: 765
| Posted: Thu Jul 17, 2003 5:19 am Post subject: | |
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I don't like to be regarded as being on the corporate bandwagon, and I definitely do not work at 3333, but I have to agree with Footie on this one. Sears will still make money from credit, but without most of the risk associated from being the issuer of the credit. As far as bankruptcy goes, I doubt that would happen right after the first of the year, because this deal will not close till the end of the year, until they we still own our credit. This deal is great for the shareholders ( in a public company, Lacy and the board are most accountable to shareholders). We also still made money last year from sales of goods and services 1.3 billion in profits on 31 billion in sales.
With all the changes going on in this company, it will not be easy. Change is never easy. If corporate is really behind the new program (it will take six months or so to see if they really have bought into their own ideas), then there should be nothing between the company and success. If it is all just smoke and mirrors as some seem to think...we probably don't have too many more chances. |
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Joined: 15 Jul 2003
Posts: 14
| Posted: Thu Jul 17, 2003 5:45 am Post subject: | |
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[quote We sold credit, will retire virtually all our debt and have a few billion left over to reinvest and return to the shareholders.
Hardly sounds like Bankruptcy to me. "Footie"[/quote] And with the way Sears "invests," they are probably out scarfing up Ninja Turtle PJs and Pokemon stickers by the glory. |
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Joined: 04 Jul 2003
Posts: 422
Location: Woosta
| Posted: Fri Jul 18, 2003 2:34 am Post subject: | |
| theres nothing wrong with ninja turtles pj's, or bed sheats for that matter. | |
Joined: 04 Jul 2003
Posts: 613
Location: New Frickin' Jersey
| Posted: Fri Jul 18, 2003 2:45 am Post subject: | |
| pika-CHU! | |
Joined: 04 Jul 2003
Posts: 933
Location: roaming...
| Posted: Fri Jul 18, 2003 2:54 am Post subject: | |
| Kan - I - wok - it? | |
Joined: 07 Jul 2003
Posts: 1037
Location: Formerly 3333
| Posted: Fri Jul 18, 2003 3:35 am Post subject: | |
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Automan..... the majority of our debt goes with the sale of credit. Citigroup inherits our debt when they take over our credit card operation....... about $27 BILLION worth.
"Footie" |
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Joined: 04 Jul 2003
Posts: 55
| Posted: Fri Jul 18, 2003 10:28 pm Post subject: | |||
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Joined: 10 Jul 2003
Posts: 89
Location: Texas
| Posted: Sat Jul 19, 2003 12:06 am Post subject: | |||
I don't mean to be stupid but why do you think that most of Sear's debt will go away after the credit card deal is finalized? What's going away is the receivables and the cost of servicing those receivables. Those receivables are carried on the books as assets, not debt. The cost of servicing those receivables is just that, cost of doing business, not debt. One thing I really don't understand is how Sears can sell those receivables when they have in fact borrowed money on them. Lots of money. I would bet more than 3 billion. What happens to the loans that those receivables were used to securitize? Here is one scenerio to consider. If Sears would have held on to the those receivables going into a liquidation, the court would sell those receivables for pennies on the dollar. They are worth more now than later. If Sears does use the money to pay off debt (a fraction of the 20 billion that they owe), it would help their overall financial situation to that degree. But I doubt if that will happen unless the credit sale has to be approved by some type of regulatory agency. If you are saying that to reduce assests in this case reduces liability, you are correct but the net financial situation of the company doesn't change based solely on that and it doesn't reduce debt unless the proceeds are used to do just that.. Once again, my best bet is that Lacy realizes that Sears is worth a lot more liquidated than as an operating entity and he is taking it down that path while making sure his bonus is based on cashflow created by the sale of assets. He isn't stupid, just evil. |
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Joined: 04 Jul 2003
Posts: 55
| Posted: Sat Jul 19, 2003 2:03 am Post subject: | |
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Hey LostinCyberSpace, you make a lot of sence, I think you are hitting the nail on the head, or at least close enough to to do the job.
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Joined: 05 Jul 2003
Posts: 1522
Location: chicagoland by the big guys
| Posted: Sat Jul 19, 2003 3:34 am Post subject: | |
| Lost in cyberspace, I think that you are exactly right to what is going on. I think that the motive is cash flow for Lacy. No one else, he could care less if the doors close in three to five from what I am going to estimate. I have read every expert finance section on this no one argees with what he is doing | |
Joined: 04 Jul 2003
Posts: 260
| Posted: Sat Jul 19, 2003 4:21 am Post subject: | |
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It's now all about Sears Retail standing on our own feet. No Credit, no Allstate, no DeanWhitter.....it is all about our retail performance.
And in the stores it's all about performance, from the MPU associate to the MCA associate to the CAC associate to the Consultative Sell associate...and on up the ladder to the leads, to the ASM's and to the SGM. Perform and stay, don't perform and work elsewhere......from part timer to SGM. That is the new sears. That is the sears of today....for all of us. |
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Joined: 04 Jul 2003
Posts: 55
| Posted: Sun Jul 20, 2003 2:43 am Post subject: | |||
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Joined: 11 Jul 2003
Posts: 132
Location: Midwest, IN
| Posted: Sun Jul 20, 2003 5:06 am Post subject: | |
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Lets just hope that with just the stores left to deal with they can focus on that and do one thing well.
It seems they want the whole deal to be about the customer now, but I have not seen any changes to make customers feel as though we are going above and beyond, I see most employees feeling annoyed by being told to get more credit applications or sell more of the product replacment agreements etc, it seems like a game where you can never make anyone happy at the moment atleast. |
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Joined: 10 Jul 2003
Posts: 19
Location: California
| Posted: Sun Jul 20, 2003 5:16 am Post subject: | |
| For all of those that are concerned about the future of Sears-you should remember that the CC Division is not the only Sears asset that has been sold to raise money. Remember that they have NTB and Orchard Supply Hardware up for sale. Its really obvious that they need a major infusion of cash. | |
Joined: 11 Jul 2003
Posts: 132
Location: Midwest, IN
| Posted: Sun Jul 20, 2003 5:22 am Post subject: | |
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It does seem really intresting, and infact every piece of the company seems to be going from what i am reading. Soon names that were only seen in Sears wil be seen other places at the rate we are going it seems.
Reading one of the posts they were talking about craftsman being sold other places, i had only slightly heard of this, but after checking a few internet sites they linked and some others these places also sold craftsman as well.... i didn't know but then again i didn't follow the name too well either. I don't know if anything special is going on latley but quite a few people in the store have decided to cut their losses and move on from sears, I say good for them and hope they do well wherever they go. |
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Joined: 10 Jul 2003
Posts: 19
Location: California
| Posted: Sun Jul 20, 2003 5:37 am Post subject: | |
 In California, the Orchard Supply Hardware Stores, soon to be sold, are a large market for Craftsman products. When Orchard is sold, to whom only Sears knows, who is going to make up for all those lost sales? K-Mart?
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Joined: 07 Jul 2003
Posts: 1037
Location: Formerly 3333
| Posted: Sun Jul 20, 2003 12:48 pm Post subject: | |
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There is more to consider than lost sales. Were Orchard sales profitable when you factor in operational costs? Does having another off-mall Hardware store chain with their own operating systems,that is regional in scope, make sense? I didn't think so when we bought them and I don't think so now.
Sometimes selling off or closing unprofitable portions of the company is the best thing to do and you increase your bottom line by doing so. "Footie" |
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Joined: 10 Jul 2003
Posts: 19
Location: California
| Posted: Sun Jul 20, 2003 1:27 pm Post subject: | |
Yes, Orchard Supply Hardware remains profitable to this day. In fact it is the only profitable portion of the Sears Hardware Store Division. Sears tried to model their Hardware Stores after Orchard but did so with little to no focus, so therefore they were so successful that some of the Sears Hardware Stores have been closed. Through all of this Orchard remained in the black, as it does today. It is a great company, with good management, and great employees that Sears could have learned a lot from. All they did was to milk the profits and turn even more people against Sears. 
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