US Department Store Chain Sears Filed for Bankruptcy

US department store chain Sears filed for bankruptcy yesterday, as it struggled with debts of more than $5bn. It reportedly could not meet a $134m repayment due on Monday. The company used to dominate America’s shopping malls but has lately suffered from rising online competition, which has had an impact on many other retailers. As of 2017, Sears was the 23rd largest retailer in the United States but has seen years of declining sales. 

Sears employs nearly 9,000 people in the US, down from 246,000 five years ago. The company said it would close 142 unprofitable stores by the end of the year. The number of Sears stores in the country dropped from 1,700 at the end of 2014 to just over 860 in August this year.

Meanwhile, news from the UK High Street are also covered in the news this morning, as Claire’s has announced it is considering closing some of its stores. The chain currently has over 370 stores in the country – the company’s spokesperson said that the action was “part of normal business practice”.

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