The Herald Business Journal
EVERETT — The Kmart store at 8102 Evergreen Way plans to close in mid-September as the company reduces its on-going expenses and seeks to transform its business model.
The store has 65 employees, most of whom are part-time or hourly, said Howard Riefs, director of corporate communications for the Sears Holdings Corp., which operates both Sears and Kmart, in an email.
Those employees can apply for jobs at nearby stores within the company. Employees who are eligible also will receive severance, Riefs wrote.
Kmart has occupied that corner of Everett for 48 years, opening in September 1966. The only other Kmart in Snohomish County is in Marysville and that store won’t be affected, Riefs wrote.
The store will begin a liquidation sale Thursday.
The closure is part of a corporate-wide effort to cut costs and adjust the company’s asset base, Riefs wrote.
“These actions will better enable us to focus our investments on serving our customers and members through integrated retail – at the store, online and in the home,” Riefs wrote.
Last winter, Kmart and Sears suffered through what CEO and hedge fund billionaire Eddie Lampert called a “tough to terrible” holiday season for the company.
Lampert combined Sears and Kmart in 2005, about two years after he helped bring Kmart out of bankruptcy. It faces mounting pressure from nimbler rivals like Wal-Mart Stores Inc. and Home Depot.
Sears is shifting away from its focus on running a store network into a member-focused business. Loyal shoppers receive incentives to buy. Its results have been hurt as it continues traditional promotions while investing in its membership program dubbed Shop Your Way.