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Sears' Holiday Comps Fall 5.3%

1/11/2011 10:03:52 AM Eastern
Hoffman Estates, Ill. - Weakness in Sears' CE and major appliances businesses dragged same-store sales down 5.3 percent in November and December.

More than half the decline was attributable to CE, Sears said, although majaps also contributed to the downturn.

The decline was steepest in December, when same-store sales fell 6 percent, giving Sears a 3.8 percent year-to-date decline in comp sales through Jan. 1.

The declines mirror the December and quarterly comp-store results reported last week by Best Buy and hhgregg.

In contrast, sister discounter Kmart posted positive comps across the board, with same-store sales up 3.4 percent in November and December, 2.3 percent in December, and nearly 1 percent year to date through Jan. 1.

Kmart attributed the holiday-period gains to the popularity of its layaway program and strength in its non-CE hardlines categories.

Based on the results, parent company Sears Holdings said it expects to report net income of $130 million to $210 million for the full fiscal year ending Jan. 31. Sears will release its 2010 earnings report on Feb. 24.
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