Sears Canada going out of business

Sears Canada going out of business

Retail giant, Sears Canada has announced that the company is looking to close all of its remaining stores after an unsuccessful attempt to find a buyer.

The court overseeing Sears Canada's operations is expected to hear a motion Friday seeking approval for the liquidation and wind down of the business. If approved the sales would being October 19 or later and run for 10 to 14 weeks. It expects the sales to last between 10 and 14 weeks.

However, on Tuesday, the retailer said that "following exhaustive efforts, no viable transaction" was received.

Sears Holding (SHLD) was Sears Canada's parent company until 2012, when the Canadian branch spun off.

Sears Canada now has 74 full department store locations, eight Sears Home Stores, and roughly 49 Sears Hometown stores, facing closure, according to company spokesman Joel Shaffer. The following month, it began liquidation of 54 locations - 20 full-line stores, 15 Sears Home, 10 outlets, and nine Hometown locations - under a plan already approved by the court. These closures would affect about 12,000 current employees. About three-quarters of its roughly 12,000 remaining employees are part-time; the vast majority of approximately 800 head office employees will leave next week.

In March, Sears Holdings Company admitted that it had "substantial doubt" it could continue to stay open.

In the U.S., Sears, much like most retail department stores, have been struggling with shrinking profits and closing stores.

It's been a rough year for the retailer.

City officials were not available Tuesday to say what impact the Sears closure would have on those lease payments.

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