Sears Profit Doesn't Stop Stock From Falling
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Even as Sears posted its first quarterly profit since Eddie Lampert took over as CEO in 2013, stock plummeted by 10%. Sears announced a profit between $155M and $205M for the quarter ending Aug. 1, but same store sales fell by 10.6% while same sales at Sears' domestic outlets dropped 13.9%. Much of the reported profit came from Lampert's deal to sell and lease back 254 Sears and Kmart stores to Seritage Growth Properties, a REIT formed by Lampert, according to Forbes. A class-action lawsuit filed by a Sears shareholder alleges the $2.5B deal mainly benefits Lampert. So far this year, Sears stock is down 35%. [Forbes]