Sears Holdings said Thursday that it would close another 28 Kmart locations as it continues its cost-cutting campaign amid a precipitous decline for the department-store sector.
The Kmart closures add to a list of 330 Sears or Kmart locations shuttered or set to be closed later this year as the retailer seeks stability.
The chain said it would notify Kmart employees later today at the affected locations and publicly release a list of closing stores this afternoon.
The company, which will still have about 1,000 stores after the closures, said in a public filing that it believes it has at least another 12 months of cash to continue operating.
Sears said it is betting on a customer loyalty program, Shop Your Way, to help lead a turnaround.
“We will continue to right-size our store footprint to ensure we are positioned to meet the realities of the changing retail environment,” Rob Riecker, Sears Holdings’ chief financial officer, said in a call with investors.
Sales at Sears and Kmart stores open at least a year, a key metric in the retail industry, tumbled 11.5% for the period, the company said Thursday. S&P Global Market Intelligence analysts had estimated a same-store sales decline of 7.1%.
Pharmacy, grocery, household goods and consumer electronics sales fell sharply at Kmart.
Home appliances, apparel, consumer electronics and lawn and garden sales fell quickly at Sears.
The company also posted a net loss of $251 million for its fiscal second quarter, down from a loss of $395 million a year earlier. That beat S&P’s projection of $266 million.
Revenue fell 23% to $4.37 billion, in part because of…