Canaccord Genuity Morning Coffee on Sears Holdings (SHLD): Attention Kmart Shoppers
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Price: $67.09 -0.83%
Rating Summary:
0 Buy, 0 Hold, 3 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
0 Buy, 0 Hold, 3 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
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Canaccord Genuity Morning Coffee on Sears Holdings (Nasdaq: SHLD): Attention Kmart shoppers.
Sears has been on the defensive with Wall Street after losing $3.14 billion in 2011 and because of the years-long decline in sales at its Kmart and namesake stores. The New York Post interviewed several company insiders from Sears about current chairman and hedge fund tycoon Eddie Lampert, and they lambasted him for not focusing on the company's “crucial needs.” Earlier at the annual meeting, Lampert attempted to address shareholders’ concern about the company’s eversinking sales, emphasizing its financial strength and reassuring that it has been taking actions to improve figures. Sears has recently launched a new website to help consumers find local deals in their neighbourhoods and renewed its customer service promise in an attempt to increase sales. However, employees harshly criticized Lampert for his attention to unimportant miniscule details instead of focusing on crucial issues that have been negatively affecting the business. Critics attributed part of the decline of Sears to Lampert’s policies. One said his radical and ineffective capitalist model fragmented Sears and Kmart by department into a handful of operating silos, each competing against each other for sales within stores instead of working together. According to insiders, during meetings, the reclusive chair would “grill executives relentlessly” and give incomprehensible broad requests. His focus on new “exciting” projects (such as improving the company website and customerloyalty program) instead of solving core problems has cost the retailer, as it reported revenue at U.S. stores open at least a year decreased by 2.2% last year.
Sears has been on the defensive with Wall Street after losing $3.14 billion in 2011 and because of the years-long decline in sales at its Kmart and namesake stores. The New York Post interviewed several company insiders from Sears about current chairman and hedge fund tycoon Eddie Lampert, and they lambasted him for not focusing on the company's “crucial needs.” Earlier at the annual meeting, Lampert attempted to address shareholders’ concern about the company’s eversinking sales, emphasizing its financial strength and reassuring that it has been taking actions to improve figures. Sears has recently launched a new website to help consumers find local deals in their neighbourhoods and renewed its customer service promise in an attempt to increase sales. However, employees harshly criticized Lampert for his attention to unimportant miniscule details instead of focusing on crucial issues that have been negatively affecting the business. Critics attributed part of the decline of Sears to Lampert’s policies. One said his radical and ineffective capitalist model fragmented Sears and Kmart by department into a handful of operating silos, each competing against each other for sales within stores instead of working together. According to insiders, during meetings, the reclusive chair would “grill executives relentlessly” and give incomprehensible broad requests. His focus on new “exciting” projects (such as improving the company website and customerloyalty program) instead of solving core problems has cost the retailer, as it reported revenue at U.S. stores open at least a year decreased by 2.2% last year.
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