Transformco Temporarily Closes All Sears Stores In Response To Coronavirus (COVID-19), Provides Business Update

HOFFMAN ESTATES, Ill., April 3, 2020 /PRNewswire/ -- Transformco, parent company of Sears and Kmart, announced that in response to the Coronavirus (COVID-19), it will temporarily close all Sears stores effective April 4 at end of day through at least April 30, 2020. Sears.com, distribution centers and customer care will remain open, fulfilling online orders and answering customer inquiries. Sears Home Services will continue to repair essential appliances. Except where required to close by law or government order, Kmart stores and Kmart Pharmacy locations will remain open to provide essential products and services.

"Our top priority is the health and safety of our associates, members and the communities we serve," the company said. "We remain committed to helping slow the spread of the virus, while also meeting the needs of our members. However, COVID-19 is having a serious impact on the entire retail industry, including our company.  Therefore, to ensure the future viability of the company, we have made the decision to temporarily close all Sears stores. We believe that taking these temporary steps now will position Sears to continue to serve our members and customers when the COVID-19 crisis passes. We continue to serve our members at Sears.com and through our mobile app and hope they and their loved ones remain safe and healthy."

The company has also made the difficult decision to temporarily furlough most Sears store hourly, salaried associates and the majority of its associates in Hoffman Estates and other corporate locations around the country.

The company will cover 100% of the premium costs through April 30 for all furloughed associates currently enrolled in Transformco's benefits programs during this period. Many impacted associates are also eligible to receive state unemployment benefits, which were recently increased with the passage of the federal stimulus bill.

Transformco will continue to follow guidance from local, state, and federal officials as it anticipates gradually reopening Sears stores and corporate offices when it is safe to do so.

Members who had Shop Your Way points that expired in March have had these reinstated and the company has extended the expiration through the end of April.

About Transformco

Transform Holdco LLC is an integrated retailer focused on seamlessly connecting the digital and physical shopping experiences to serve its members – wherever, whenever and however they want to shop. Transformco is home to Shop Your Way®, a social shopping platform offering members rewards for shopping at Sears, Kmart and other retail partners. Transformco operates through its subsidiaries with full-line and specialty retail stores across the United States.

About Sears 
Sears is an integrated retailer providing a wide range of home merchandise, apparel and automotive products and services through Sears-branded and affiliated full-line and specialty retail stores, as well as through Sears.com. Home to some of the most trusted and preferred brands in the U.S., Sears product offering includes Kenmore, Craftsman and DieHard. Sears is part of Shop Your Way, a social shopping program where members can earn points and receive benefits both in stores and online. Sears is a proud corporate partner of St. Jude Children's Research Hospital. For more information, visit the Sears website at www.sears.com. For more information, visit the Sears website at www.sears.com.

About Kmart
Kmart is an integrated retailer offering quality products through a portfolio of exclusive brands that include Jaclyn Smith, Joe Boxer and Route 66. Kmart is part of Shop Your Way, a rewards shopping platform where members can earn points and receive benefits both in stores and online. Kmart is also home to Kmart Pharmacy, which features best-in-class patient care for its members and customers. Kmart is a proud corporate partner of St. Jude Children's Research Hospital. For more information, visit the Kmart website at www.kmart.com.

SOURCE Transform Holdco LLC