Sears, the once-dominant retail chain that changed how Americans shopped and lived, has filed for bankruptcy.
Retail Giant Sears Files For Bankruptcy
The 132-year-old company has been struggling for several years and is drowning in debt. The final straw was a $134 million debt payment due Monday that it could not afford.
Sears Holdings (SHLD), the parent company of Sears and Kmart, is among dozens of prominent retailers to declare bankruptcy in the era of Amazon (AMZN).
The filing in federal bankruptcy court in New York came in the early hours of Monday morning. The company issued a statement saying it intends to stay in business, keeping open stores that are profitable, along with the Sears and Kmart websites.
Although retailers typically file for bankruptcy with the intention of staying in business, many end up going bust after filing. In recent years, Toys “R” Us, RadioShack and Sports Authority have followed that path to the graveyard.