As their stock prices continue to dip, the corporate owner of Sears and Kmart is questioning whether or not the two chains can continue their traditional brick-and-mortar operating model as shoppers continue to utilize e-commerce services.
Sears and Kmart have a combined 10 stores in Westchester, Rockland, Putnam and Dutchess counties.
According to multiple reports , on Tuesday, Sears Holding Corporation said that there was “substantial doubt” that it can continue its current services, citing efforts to cut costs, sell property and find new revenue sources as the companies continue bleeding money.
“Our historical operating results indicate substantial doubt exists related to the company’s ability to continue as a going concern,” Sears reportedly said during its annual filing with the Securities and Exchange Commission on Tuesday.
Despite shuttering the doors of several stores and reorganizing the company’s business model several times in recent years, Sears has reportedly lost more than $5 billion over the last three years as sales have declined as competition in the form of Walmart and Target, as well as online shopping have more prevalent and taken a larger share of the market.
No word has yet been given regarding the status of the six Sears and four Kmart locations in Westchester, Dutchess, Rockland and Putnam counties.
Sears has locations in Poughkeepsie, White Plains, Yonkers, Yorktown Heights in the Jefferson Valley Mall, the Nanuet Mall and the Danbury Fair Mall.
Kmart has stores at the Crossroads Shopping Center in White Plains, Yorktown Green Shopping Center, at Lake Plaza on Route 6 in Mahopac and in Poughkeepsie.
The New York Times reported that on Wednesday, following the SEC filing, shares in the company dropped more than 13 percent. Last month, Sears underwent a restructuring program that will reportedly save at least $1 billion annually as they continue to keep the company on life support.
Earlier this year, Sears said there were approximately 1,400 Sears and Kmart stores in the United States, less than half of what existed a decade ago.