Posted Sep 30, 2017, 4:49 PM
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Registered User
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Join Date: Jan 2015
Location: BC
Posts: 4,569
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What if no one wants to buy Sears Canada?
Quote:
By the end of the working day on Sunday, most of the 59 Sears Canada stores slated for closure when the retailer filed for creditor protection this summer will lock their doors for the last time.
In all, 2,900 Sears employees in stores and at head office will have lost their jobs.
That’s not the end of it. Sears announced Friday it was closing 10 additional department stores, including the anchor stores at Fairview Mall and Scarborough Town Centre in the coming months, after it failed to attract a successful bid to save the company. That will affect 1,200 people.
The remaining 12,000 or so employees are still at risk of losing their jobs and the remaining 64 full-line Sears department stores, 7 Sears Home Stores and 49 Hometown Stores across Canada are at risk of closing too, if no one steps up to buy what’s left of the chain.
“If they don’t sell, they are obliged to liquidate,” said commercial lawyer Lou Brzezinski, citing the terms of the agreements filed in the matter under the Companies' Creditors Arrangement Act (CCAA).
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Sears Canada is scheduled to report to court on the sales process on Wednesday, but while motions submitted to date seem to indicate some deals with certain landlords are in the works, there is nothing to suggest there is a buyer for what is left of the enterprise.
“It looks like they’re selling a bunch of properties,” said Brzezinski. “It’s not a sale en bloc.
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