Sears Gets Reprieve: One More Day To Save Struggling Retailer

HOFFMAN ESTATES, IL —Sears was expected to request approval to liquidate its assets and shutter hundreds of remaining stores Tuesday, but last-minute negotiations have given ex-CEO and current Chairman Eddie Lampert more time to improve his bid to save the chain, according to the Chicago Tribune. Three months after filing for bankruptcy, the Illinois-based 126-year-old retailer was expected to announce its plans to liquidate on Tuesday morning, but it's managed another last-minute reprieve.

In October, Sears announced it had filed for chapter 11 protection and would close 142 more stores, including several Illinois locations. At the time, the retailer employed more than 68,000 people.

On Tuesday, Reuters reported it appeared likely that the bankruptcy judge presiding would give Lampert more time to improve his last-ditch offer. An initial court hearing on liquidation scheduled for Tuesday morning was delayed, which Reuters said indicated that the two parties were still negotiating.

Lampert now has one more day to try to save the company, and must put up a $120 million deposit by Wednesday in order to participate in a Jan. 14 auction for the retailer, according to Crain's.

In December, a day before Lampert made a $4.4 billion bid through his hedge fund, ESL Investments, Sears announced it would close another 80 locations by March, including two Illinois stores. The company's last Chicago store closed over the summer, and the Joliet store's is also closing.

Lampert's current bid includes 425 stores and would reportedly "offer employment to up to 50,000 associates."

The Sears website still lists these Sears locations in 33 Illinois towns, although some — such as the Fairview Heights location — may be affected by planned March closures.

1. Batavia - Hardware store
2. Bloomingdale - Sears, Sears Auto Center
3. Bolingbrook - Hardware store
4. Bridgeview - Appliance outlet
5. Champaign - Hometown store
6. Chicago - Auto center
7. Chicago Ridge - Sears, auto center
8. Darien - Appliance outlet
9. DeKalb - Hometown store
10. Effingham - Hometown store
11. Fairview Heights - Sears, appliance outlet, auto center
12. Flora - Hometown store
13. Harrisburg - Hometown store
14. Hoffman Estates - Hardware store, hometown store, appliance outlet
15. Jacksonville - Hometown store
16. Litchfield - Hometown store
17. McHenry - appliance outlet
18. Melrose Park - appliance outlet
19. Morris - Hometown store
20. Naperville - Appliance outlet, online pickup
21. Oak Brook - Sears
22. Olney - Hometown store
23. Oswego - Hometown store
24. Ottawa - Hometown store
25. Pekin - Hometown store
26. Peoria - Sears, auto center
27. Robinson - Hometown store
28. Rockford - Sears
29. Schaumburg - Sears, auto center
30. Streamwood - Appliance outlet
31. Tinley Park - Appliance outlet
32. Waterloo - Hometown store
33. West Dundee - Sears, auto center

Sears is the parent company for Kmart, which has also been hard hit by closings in recent years and has its remaining Illinois stores in Bridgeview, Des Plaines, Moline, Norridge, Quincy and Steger.

It remains to be seen if an improved bid from Lampert can still save Sears, once a towering retail giant that found itself struggling after the advent of online retailers including Amazon and chains like Walmart and Target. The company's last profitable year was 2010, according to CNBC.

More Patch coverage:

• Sears Lays Off 220 At Illinois Headquarters
• Nearly 800 Layoffs, Closings At IL Walmart, Sears, Grocery Stores
• Sears Raises $100 Million, Looks At $200 Million In Cuts
• After Layoffs, Sears Gets $210 Million Loan
• Sears To Close Its Last Chicago Store
• Sears CEO's Hedge Fund Wants To Buy Kenmore, Other Assets

AP Photo/Jeff Martin