Sears to close 40 more stores

After a descent into bankruptcy, Sears Holdings has announced that it will close 11 Kmart locations and 29 Sears stores by February of 2019, joining over 200 other locations set to close since the company made its Chapter 11 filing in mid-October.

Liquidation sales at the soon to be axed locations "are expected to begin late next week," the company said.

For now, Sears Holdings operates 360 Kmart stores and 506 Sears locations.

The widespread closures are part of an effort to reduce costs and avoid total collapse as the company seeks to restructure. Sears Holdings began to operate under bankruptcy protection after being unable to pay off $134 million in debt. According to Reuters, the company's total debt amounts to over $5.6 billion.

According to Sears Holdings, the company only has approximately 400 money-making stores out of nearly 1,000 locations. In its bankruptcy filing, Sears made an initial list of 142 underperforming locations it intended to close, but these numbers continue to grow as the company attempts to bail itself out.

The company's Chief Executive Officer Edward Lampert stepped down from his role once the company made its public announcement, but has remained at the company as chairman. In addition to being CEO, he was also the company's largest shareholder and creditor.

The company currently faces a December 15 deadline to negotiate a bankruptcy financing package.

Sears to close 40 more stores

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