Sears gives gloomy outlook ahead of annual meeting
HOFFMAN ESTATES, Ill. -- Sears Holdings will host its annual meeting on May 4, and attendees present will likely want to know how the company plans to improve sales and return to profitability under the leadership of its new CEO, Lou D’Ambrosio.
Ahead of the meeting, the company reported a same-store sales decline of 3.6% for its fiscal first quarter, which included a 1.6% decrease at its Kmart stores and a 5.2% decrease its Sears Domestic stores. According to the company, the comps decline was driven by poor performances in appliances, apparel and consumer electronics. The decline was offset by strong performances in home, sporting goods, jewelry and footwear.
Sears Holdings said it is expecting a first-quarter net loss of between $145 million and $195 million, or between $1.35 and $1.81 per diluted share. In the first quarter of fiscal 2010, the company reported net income attributable to Holdings' shareholders of $16 million, or 14 cents per diluted share.