Business

SLO County Kmart, Sears stores not included in nationwide closures

Sears announced Thursday that it will close 150 locations throughout the United States. Included in the closings are 109 of the brand’s Kmart stores. None of the locations in San Luis Obispo County will close.
Sears announced Thursday that it will close 150 locations throughout the United States. Included in the closings are 109 of the brand’s Kmart stores. None of the locations in San Luis Obispo County will close. AP

San Luis Obispo County Kmart and Sears stores will remain open, despite Sears’ announcement Thursday that it will close 150 locations throughout the United States.

Included in the closings are 109 of the brand’s Kmart stores.

Sears has one local store in San Luis Obispo; Kmart has locations in Atascadero and Arroyo Grande.

Sears, which has lost money for years amid falling revenue, announced that among those closing is Kmart’s first store, which opened in 1962 in Garden City, Michigan. And Sears is also set to part with another part of its history: After controlling the Craftsman name for 90 years, the company reached a deal to sell its famous tools brand to Stanley Black & Decker Inc.

Stanley, which makes and sells tools under the DeWalt and Black & Decker names, wants to grow the Craftsman brand by selling its products in more stores outside of Sears. Today, only 10 percent of Craftsman products are sold in other stores. Sears said it will continue to sell Craftsman, including at its Kmart and Sears Hometown stores. The Hoffman Estates, Illinois-based company first took control of Craftsman in 1927 when it bought the trademark for $500.

Shares of Sears Holdings Corp., which are down 45 percent in the past 12 months, rose 6 percent to $10.94 in midday trading Thursday.

While the local Kmart and Sears won’t be closing, the Santa Barbara Macy’s in the Paso Nuevo shopping mall is set to shutter by the end of the year.

On Wednesday, Macy’s said it will close 63 of its 730 stores this year and expects to cut more than 10,000 jobs as it seeks to reduce costs. Sales at established stores fell 2.1 percent in November and December, the New York-based retailer said. Kohl’s also reported a 2.1 percent sales drop at established stores in the past two months of 2016.

The closest Macy’s store is in Santa Maria. Kohl’s has locations in San Luis Obispo and Paso Robles.

The Associated Press contributed to this report.

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