Sears reports wider third-quarter loss, slower same-store sales

BY SANDRA GUY Business Reporter/sguy@suntimes.com November 15, 2012 3:38PM

Sears revenues have fallen for the past five years, as the 126-year-old retailer has struggled to fend off more nimble, faster-growing rivals. | Sun-Times Library

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Updated: November 15, 2012 10:25PM

Sears may turn to outsourcing its appliance repair business even making repairs for Lowes or other rival retailers as a way to generate revenue, as the Hoffman Estates-based retailer works to stay ahead of declining sales.

While Sears CEO Lou DAmbrosio wouldnt say so in as many words, he told the Sun-Times late Thursday that Sears repair and services business already fixes appliances and electronics for outside companies without using its name or logo.

He declined to name those companies or give details, but he said where it makes sense and delivers value, the service could be expanded outside of Sears.

Services and repair are a critically important part of our business, DAmbrosio said. Its a very strong asset in serving our customers. Well continue to develop that asset. There could be multiple configurations.

Sears already sells certain items from its Craftsman tool line through Ace Hardware stores, and has said it will sell other brands outside of its stores where it makes good business sense.

The issue arose as Sears third-quarter earnings announcement after the market closed on Thursday though besting analysts forecasts for revenues and adjusted net loss sent the stock price plunging. The stock after hours was down 7.3 percent, or $4.28, to $54.20 per share. The stock had ended the day in regular trading up 0.1 percent at $58.48.

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Sears reports wider third-quarter loss, slower same-store sales