WHITE PLAINS, N.Y. -- U.S. Bankruptcy court approved Sears Holdings, Inc. proposal earlier this month to sell more than 500 Sears and Kmart stores, leaving the future uncertain for Kmart at the Loyal Plaza in Loyalsock Township. The list of 504 stores to be sold includes the Williamsport area store at 1915 E. Third Street.
The struggling Sears Holdings, Inc., which Kmart is a subsidiary of, filed for Chapter 11 bankruptcy last month. The retailer has reported more than $11 billion in losses since 2011. The 125-year-old retailer is facing opposition to its plan from creditors, who argued that Sears would lose hundreds of millions of dollars by pursuing the sales rather than dwindling down its businesses. To address these concerns, Sears is considering offers for its business from liquidation firms that sell company assets in pieces and shuts them down. The company has a mid-December deadline to find a bidder for the remaining stores and assets.
Locally, the retailer closed the Sears store at the Lycoming Mall in Pennsdale and Kmart in Shamokin Dam in January of 2018. Earlier this month, Sears announced they are closing 40 more stores.