1 / 9

Sears Holdings Corp.

Sears Holdings Corp. Presented by Team:. Sears, Kmart Merge. Kmart Holding Corp. and Sears, Roebuck & Co. announced on November 17, 2004 they have signed a definitive merger agreement that will combine Sears and Kmart into a major new retail company named Sears Holdings Corp

abram
Download Presentation

Sears Holdings Corp.

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Sears Holdings Corp. Presented by Team:

  2. Sears, Kmart Merge • Kmart Holding Corp. and Sears, Roebuck & Co. announced on November 17, 2004 they have signed a definitive merger agreement that will combine Sears and Kmart into a major new retail company named Sears Holdings Corp • The $11.5-billion purchase will create the nation's third-largest retailer, right behind Wal-Mart and Home Depot

  3. Sears, Kmart Merge • Both Sears, Roebuck and Kmart have made significant strides in transforming their organizations, and the merger will further accelerate this process for both companies • The combined business will have a broader retail presence and improved scale through a national footprint of nearly 3,500 retail stores

  4. Competitive Advantage • The combined company will also benefit from improved operational efficiency in areas such as procurement, marketing, information technology and supply-chain management • "The combination will greatly strengthen both the Sears and Kmart franchises by accelerating the Sears off-mall growth strategy and enhancing the brand portfolio of both companies. This will clearly be a win for both companies' customers while significantly enhancing value for all shareholders” – Alan Lacy, Sears Roebuck CEO

  5. Competitive Advantage

  6. Competitive Advantage The merger is expected to save $500 million annually through: • improved supply chain • administrative efficiencies • operational efficiencies • cross-selling brands between stores • changing nameplates from Kmart to Sears

  7. Competitive Advantage • "The combination of Kmart and Sears is extremely compelling for our customers, associates and shareholders as it will create a powerful leader in the retail industry, with greatly expanded points of distribution, leading proprietary home and apparel brands and significant opportunities for improved scale and operating efficiencies. The merger will enable us to manage the businesses of Sears and Kmart to produce a higher return than either company could achieve on its own.“ - Edward S. Lampert, Chairman of Kmart

  8. Organizational Structure • Sears Holdings Corp. ChairmanEdward S. Lampert, current chairman of Kmart • Vice chairman and CEO of Sears Holdings Alan Lacy, Current chairman and CEO of Sears • President of Sears Holdings and CEO of Sears Retail Aylwin B. Lewis, current president and CEO of Kmart

  9. The Future of Sears Holdings Corp. • The merger is expected to close by the end of March 2005 • Subject to approval by: Kmart and Sears shareholders Regulatory approvals Customary closing conditions • Possible phasing out of the Kmart name

More Related