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| Sears Reports Fourth Quarter 2003 Results |
HOFFMAN ESTATES, Ill., Jan 29, 2004 /PRNewswire-FirstCall via Comtex/ -- Sears, Roebuck and Co. (NYSE: S) today reported net income of $2.7 billion, or $10.84 per share on an average base of 253.6 million common and dilutive common equivalent shares, for the fourth quarter ended Jan. 3, 2004, compared with net income of $848 million, or $2.67 per share on an average base of 317.6 million common and dilutive common equivalent shares in the fourth quarter of 2002. Sears' 2003 fourth quarter results include the following significant items:
The 2002 fourth quarter results included a pretax gain of $265 million, or $0.56 per share, related to the sale of the company's remaining investment in Advance Auto Parts, Inc. Excluding the effects of these significant items, adjusted earnings per share for the current quarter was $2.24 on an average base of 253.6 million common and dilutive common equivalent shares, compared with $2.11 on an average base of 317.6 million common and dilutive common equivalent shares in the prior year quarter. "We made significant strides in restructuring the company and repositioning our retail and related services business in 2003," said Chairman and CEO Alan J. Lacy. "Our accomplishments in 2003 position us well to achieve our 2004 goals of building topline momentum, improving our margin structure and growing key businesses to further enhance our competitiveness." Retail and Related Services As a result of the sale of the domestic Credit and Financial Products business on Nov. 3, 2003, the Retail and Related Services segment now includes the revenues and related costs associated with the long-term marketing and service alliance with Citigroup from the sale date through the end of the quarter. In addition, on Nov. 29, 2003, the company completed the sale of its NTB business. The fourth quarter segment results include the results of operations of NTB through Nov. 29, 2003. Retail and Related Services reported operating income of $753 million for the fourth quarter of 2003, compared with $726 million in the fourth quarter of 2002, with the current year period benefiting from an additional week in the fiscal quarter and the revenues generated from the program agreement with Citigroup. Revenues for the fourth quarter were $10.1 billion, an increase of 3.6 percent over the same period last year. Retail and Related Services revenues in the current year quarter were favorably impacted by approximately 6 percent due to the additional fiscal week. Comparable store sales for the quarter, excluding the 53rd week, decreased 2.1 percent. Overall comparable store sales trends were impacted by later than anticipated consumer seasonal purchases and a difficult promotional environment. In the home group, the lawn and garden business continued to experience strong performance throughout the quarter. Sales of consumer digital products and tools also did well in the quarter. Within the apparel and accessories group, improved merchandise offerings resulted in comparable store sales increases in the core women's ready to wear and footwear categories. "Overall, we made progress in our full-line stores again this year," Lacy said. "We enhanced the overall customer proposition of our home appliance business, delivered exceptional sales across every major category of lawn and garden and saw apparel sales trends improve throughout much of the year, especially in our core women's ready to wear business. Lands' End generated more than $400 million of in-store sales in 2003, with our Covington, Apostrophe and Canyon River Blues brands also contributing to the improved apparel momentum." The gross margin rate for the quarter declined to 28.9 percent in the current year from 29.4 percent in the prior year as increases in promotional and clearance activities, particularly within the apparel businesses, were partially offset by a favorable LIFO inventory credit. Selling and administrative expenses as a percentage of revenues declined to 19.2 percent in the current year quarter from 19.9 percent in the prior year due to expense reductions in most retail business formats from ongoing productivity initiatives as well as Citigroup's support of credit promotional activity for the last nine weeks of the fourth quarter. Credit and Financial Products On Nov. 3, 2003, the company sold its domestic Credit and Financial Products business to Citigroup. The fourth quarter segment results include the results of operations of the Credit and Financial Products business through Nov. 2, 2003. Credit and Financial Products reported an operating loss of $645 million for the quarter, compared with operating income of $363 million for the prior quarter. The current year quarter operating loss includes a $791 million loss related to the early retirement of debt. Fourth quarter domestic Credit and Financial Products revenues were $526 million in the current year, compared with $1.4 billion in the prior year. Sears Canada Sears Canada reported operating income of $109 million for the fourth quarter of 2003, compared with $90 million in the fourth quarter of 2002, benefiting from the additional week in the current year fiscal quarter, as well as favorable foreign currency rates. Revenues for the fourth quarter were $1.5 billion, compared with $1.3 billion in the prior year quarter. Revenues for the 53rd week favorably impacted sales in the current year quarter by approximately 4 percent. The gross margin rate declined to 30.9 percent in the current year quarter from 32.3 percent in the prior year, primarily due to an increase in promotional activity. Selling and administrative expenses as a percentage of revenues decreased to 23.5 percent in the current year quarter from 23.9 percent in the prior year. Full-Year 2003 Earnings The company also reported full-year 2003 net income of $3.4 billion, or $11.86 per share on an average base of 286.3 million common and dilutive common equivalent shares, compared with net income of $1.4 billion, or $4.29 per share on an average base of 320.7 million common and dilutive common equivalent shares, for 2002. The company's 2003 full-year results include several significant items, such as the gain on the sale of the domestic Credit and Financial Products business, whose 2003 results included a gain from the sale of previously charged-off credit card receivables, the gain on the sale of NTB, the loss on the early retirement of debt and a charge resulting from the company's refinement of its business strategy for The Great Indoors. In aggregate, these items increased 2003 net income by $2.2 billion, or $7.50 per share. The company's 2002 full-year results also included significant items such as the adoption of new accounting standards for goodwill, a charge for the conversion of Eaton's stores to Sears Canada stores, a change in accounting estimate for the allowance for uncollectible accounts and a gain on the sale of the company's investment in Advance Auto Parts. In aggregate, these items reduced 2002 net income by $202 million, or $0.63 per share. Share Repurchase Program During the 2003 fourth quarter, Sears repurchased 36.2 million common shares for a total cost of approximately $1.8 billion, at an average price of $48.72 per share. As of Jan. 3, 2004, the company had remaining authorization to repurchase approximately $1.6 billion of common shares by Dec. 31, 2006, under its existing share repurchase program approved by the Sears board of directors in October 2003. The remaining shares may be purchased in the open market, through self-tender offers or through privately negotiated transactions. Timing will depend on prevailing market conditions, alternative uses of capital and other factors. Financial Position The company ended the year with approximately $9 billion of cash and cash equivalents, an increase of $7 billion from the prior year primarily due to the sale of the company's domestic Credit and Financial Products business. As a result of the sale and related liability management actions, the company's domestic term debt position has been reduced to $5.3 billion as of the end of the current fiscal year, down from $23.8 billion last year-end. The company expects to retire an additional $2.6 billion of domestic term debt by year-end 2004, $2.4 billion of which is expected to be retired in the first half of 2004, and pay $1.4 billion for taxes and other expenses associated with the sale of the domestic Credit and Financial Products business. The company plans to target, exclusive of seasonal working capital requirements, domestic funded term debt, less cash and investments, of approximately $1.5 billion. Pension and Post-Retirement Medical Benefit Plans Sears has undertaken a comprehensive evaluation of its domestic pension and post-retirement medical benefit plans to ensure that the benefits provided by the plans are the most appropriate for today's workforce and competitive landscape. The evaluation involved pension funding, plan design and related financial reporting considerations. Three important changes related to the company's pension and post- retirement medical benefit plans are being implemented as a result of this evaluation. First, Sears contributed $1.1 billion on a pretax basis to its domestic pension plan in 2003, placing the plan in a sounder financial and economic position, using proceeds from the sale of the Credit and Financial Products business and operating cash flows. Second, the company decided to enhance its 401(k) defined contribution plan and begin phasing out participation in its domestic pension plan. This change is designed to provide an employee benefit more closely aligned with today's more mobile workforce. Associates hired in 2004 and those under the age of 40 as of Dec. 31, 2004, will receive an increased company-matching contribution to the 401(k) plan, but will no longer earn additional pension benefits, starting in 2005. Pension benefits continue to accrue for associates age 40 and over as of Dec. 31, 2004, unless they elect to participate in the enhanced 401(k) defined contribution plan. In addition, the company eliminated its pre-65 retiree medical insurance contribution for associates hired in 2004 and those under the age of 40 as of Dec. 31, 2004, and capped the contribution at the 2004 level for associates age 40 and older. The third change in connection with the company's evaluation of its pension and post-retirement medical benefit plans involved a change in its accounting principle. Effective Jan. 4, 2004, the company will recognize experience gains and losses on a more current basis, while under its previous methods the company amortized experience gains and losses over future service periods. In connection with this change in accounting principle, the company expects to record a cumulative one-time, non-cash, after-tax charge of $840 million in the first quarter of 2004. This represents the recognition of unamortized experience losses at the beginning of 2004 in accordance with the new methods. Preliminary 2004 Guidance The company's preliminary outlook for 2004, before the effect of the cumulative change in accounting principle, is for earnings per share to range from $3.60 to $3.80. This includes the negative carrying cost of approximately $0.20 to $0.25 per share on the company's remaining legacy debt related to its Credit and Financial Products business. The preliminary outlook encompasses several important factors, including: a 52-week fiscal year in 2004, versus the 53-week fiscal year in 2003; pension costs reflected under the new accounting method; the amount of outstanding debt; and the number of shares outstanding due to the ongoing share repurchase program. The company expects domestic comparable store sales to grow in the low-single digit range for the year. In regards to the first quarter of 2004, the company expects domestic comparable store sales to range from flat to slightly higher versus the prior year first quarter, with a loss per share before cumulative effect of change in accounting principle ranging from $0.09 to $0.14. With the sale of the Credit and Financial Products business, the company will be a more focused retailer and thus, the company's financial reporting segments will be changed to reflect two operating segments - a Domestic segment and an International segment. The Domestic segment will comprise the former Retail and Related Services segment, including the revenues earned from the Citigroup relationship, and the former Corporate and Other segment. The International segment will continue to represent the results of operations of Sears Canada. Forward-Looking Statements This release contains guidance on full-year 2004 and first quarter earnings per share and domestic comparable store sales, as well as expectations concerning debt retirement and other related matters. These statements are forward-looking statements based on assumptions about the future that are subject to risks and uncertainties, and actual results may differ materially from the results projected in the forward looking statements. Risks and uncertainties that may cause actual results to differ materially include competitive conditions in retail and credit; changes in consumer confidence and spending; the success of the full-line store strategy and other strategies; the possibility that the company will identify new business and strategic options for one or more of its business segments, potentially including selective acquisitions, dispositions, restructurings, joint ventures and partnerships; Sears' ability to integrate and operate Lands' End successfully; the successful integration of Sears retail businesses with Citigroup's operation of the Credit and Financial Products business, which involves significant training and the integration of complex systems and processes; the outcome of pending legal proceedings; anticipated cash flow; social and political conditions such as war, political unrest and terrorism or natural disasters; the possibility of negative investment returns in the company's pension plan; changes in interest rates; the volatility in financial markets; changes in the company's debt ratings, credit spreads and cost of funds; the possibility of interruptions in systematically accessing the public debt markets; general economic conditions and normal business uncertainty. In addition, Sears typically earns a disproportionate share of its operating income in the fourth quarter due to seasonal buying patterns, which are difficult to forecast with certainty. The company intends these forward- looking statements to speak only as of the time of this release and does not undertake to update or revise them, as more information becomes available. Non-GAAP Financial Measure This release includes fourth quarter adjusted earnings per share, which is a "non-GAAP financial measure" as defined by the Securities and Exchange Commission. Adjusted earnings per share reports GAAP earnings per share excluding the impact of the sale of businesses and operations of the company. As such, the company believes that presenting adjusted earnings per share, in addition to GAAP earnings per share, is necessary to provide a more meaningful understanding of the company's operations and ongoing results. Webcast Sears will webcast its fourth quarter earnings conference call at 10:30 a.m. EST/9:30 a.m. CST today. Investors and the media are invited to listen to the call through the company's website at http://www.sears.com/investors , under "Presentations & Audio Archives." A telephone replay of the call will be available beginning at approximately 1:00 p.m EST/12:00 noon CST today. The replay number is 1-800-253-1052, access code: 7239. A replay of the conference call will also be available on the company's website at http://www.sears.com/investors , under "Presentations & Audio Archives." About Sears Sears, Roebuck and Co. is a leading broadline retailer providing merchandise and related services. With revenues in 2003 of $41.1 billion, the company offers its wide range of home merchandise, apparel and automotive products and services through more than 2,300 Sears-branded and affiliated stores in the U.S. and Canada, including approximately 1,000 full-line stores and 1,300 specialty stores. Sears also offers a variety of merchandise and services through sears.com, landsend.com, and specialty catalogs. Sears is the only retailer where consumers can find each of the Kenmore, Craftsman, DieHard and Lands' End brands together - among the most trusted and preferred brands in the U.S. The company is the largest provider of product repair services with more than 14 million service calls made annually.
SEARS, ROEBUCK AND CO.
CONSOLIDATED INCOME
For the 14 Weeks For the 53 Weeks
Ended January 3, Ended January 3,
2004 2004
and the 13 Weeks and the 52 Weeks
Ended December 28, Ended December 28,
2002 2002
(millions, except earnings per
common share) 2003 2002 2003 2002
REVENUES
Merchandise sales and services $11,638 $11,059 $36,372 $35,698
Credit and financial products
revenues 616 1,459 4,752 5,668
Total revenues 12,254 12,518 41,124 41,366
COSTS AND EXPENSES
Cost of sales, buying and occupancy 8,218 7,744 26,231 25,646
Selling and administrative 2,445 2,612 9,111 9,249
Provision for uncollectible accounts 236 576 1,747 2,261
Depreciation and amortization 228 225 909 875
Interest 178 277 1,025 1,143
Loss on the early retirement of debt 791 - 791 -
Special charges and impairments - - 112 111
Total costs and expenses 12,096 11,434 39,926 39,285
Operating income 158 1,084 1,198 2,081
Gain on the sale of Credit and Financial
Products 4,143 - 4,143 -
Gain on the sale of National Tire
& Battery 81 - 81 -
Other income, net 11 274 27 372
Income before income taxes, minority
interest and cumulative effect of
accounting change 4,393 1,358 5,449 2,453
Income taxes (1,615) (476) (2,007) (858)
Minority interest (29) (34) (45) (11)
Income before cumulative effect
of accounting change 2,749 848 3,397 1,584
Cumulative effect of change in
accounting for goodwill - - - (208)
NET INCOME $2,749 $848 $3,397 $1,376
EARNINGS PER COMMON SHARE
Basic
Earnings per share before
cumulative effect of accounting
change $11.07 $2.67 $11.95 $4.99
Cumulative effect of change in
accounting for goodwill - - - (0.65)
Earnings per share $11.07 $2.67 $11.95 $4.34
Diluted
Earnings per share before
cumulative effect of accounting
change $10.84 $2.67 $11.86 $4.94
Cumulative effect of change in
accounting for goodwill - - - (0.65)
Earnings per share $10.84 $2.67 $11.86 $4.29
Average common and dilutive common
equivalent shares outstanding 253.6 317.6 286.3 320.7
SEARS, ROEBUCK AND CO.
CONSOLIDATED BALANCE SHEET
(millions)
January 3, December 28,
2004 2002
Assets
Current assets
Cash and cash equivalents $9,121 $1,962
Credit card receivables 2,000 32,563
Less allowance for uncollectible
accounts 42 1,832
Net credit card receivables 1,958 30,731
Other receivables 672 891
Merchandise inventories 5,335 5,115
Prepaid expenses and deferred charges 420 535
Deferred income taxes 708 749
Total current assets 18,214 39,983
Property and equipment, net 6,787 6,910
Deferred income taxes 378 734
Goodwill 943 944
Tradenames and other intangible assets 710 704
Other assets 708 1,134
Total assets $27,740 $50,409
Liabilities
Current liabilities
Short-term borrowings $1,033 $4,525
Current portion of long-term debt and
capitalized lease obligations 2,946 4,808
Accounts payable and other liabilities 7,940 7,485
Unearned revenues 1,244 1,199
Other taxes 609 580
Total current liabilities 13,772 18,597
Long-term debt and capitalized lease
obligations 4,222 21,304
Pension and postretirement benefits 1,956 2,491
Minority interest and other liabilities 1,389 1,264
Total liabilities 21,339 43,656
Commitments and Contingent Liabilities
Shareholders' Equity
Common shares 323 323
Capital in excess of par value 3,519 3,505
Retained earnings 11,636 8,497
Treasury stock - at cost (7,945) (4,474)
Deferred ESOP expense (26) (42)
Accumulated other comprehensive loss (1,106) (1,056)
Total shareholders' equity 6,401 6,753
Total liabilities and shareholders'
equity $27,740 $50,409
Total common shares outstanding 230.4 316.7
SEARS, ROEBUCK AND CO.
Segment Income Statements
(millions, except earnings per share)
For the 14 Weeks Ended January 3, 2004 and the 13 Weeks Ended
December 28, 2002:
Retail & Related Credit & Financial
Services Products
2003 2002 2003 2002
Merchandise sales and services $10,085 $9,731 $- $-
Credit and financial products
revenues - - 526 1,390
Total revenues 10,085 9,731 526 1,390
Costs and expenses
Cost of sales, buying and
occupancy 7,173 6,870 - -
Selling and administrative 1,936 1,936 55 230
Provision for uncollectible
accounts - - 228 551
Depreciation and amortization 188 186 1 4
Interest 35 13 96 242
Loss on the early retirement of
debt - - 791 -
Special charges and impairments - - - -
Total costs and expenses 9,332 9,005 1,171 1,027
Operating income (loss) $753 $726 $(645) $363
For the 14 Weeks Ended January 3, 2004 and the 13 Weeks Ended
December 28, 2002:
Corporate & Other Sears Canada
2003 2002 2003 2002
Merchandise sales and
services $102 $85 $1,451 $1,243
Credit and financial products
revenues - - 90 69
Total revenues 102 85 1,541 1,312
Costs and expenses
Cost of sales, buying and
occupancy 42 32 1,003 842
Selling and administrative 92 132 362 314
Provision for uncollectible
accounts - - 8 25
Depreciation and amortization 9 16 30 19
Interest 18 - 29 22
Loss on the early retirement
of debt - - - -
Special charges and impairments - - - -
Total costs and expenses 161 180 1,432 1,222
Operating income (loss) $(59) $(95) $109 $90
For the 14 Weeks Ended January 3, 2004 and the 13 Weeks Ended
December 28, 2002:
Total
2003 2002
Merchandise sales and services $11,638 $11,059
Credit and financial products revenues 616 1,459
Total revenues 12,254 12,518
Costs and expenses
Cost of sales, buying and occupancy 8,218 7,744
Selling and administrative 2,445 2,612
Provision for uncollectible accounts 236 576
Depreciation and amortization 228 225
Interest 178 277
Loss on the early retirement of debt 791 -
Special charges and impairments - -
Total costs and expenses 12,096 11,434
Operating income (loss) $158 $1,084
Gain on the sale of Credit and Financial
Products
$4,143 $-
Gain on the sale of National Tire & Battery $81 $-
Other income $11 $274
Net income $2,749 $848
EPS - Diluted $10.84 $2.67
Average shares o/s 253.6 317.6
For the 53 Weeks Ended January 3, 2004 and the 52 Weeks Ended
December 28, 2002:
Retail & Related Credit & Financial
Services Products
2003 2002 2003 2002
Merchandise sales and
services $31,842 $31,459 $- $-
Credit and financial
products revenues - - 4,429 5,392
Total revenues 31,842 31,459 4,429 5,392
Costs and expenses
Cost of sales, buying
and occupancy 23,164 22,743 - -
Selling and
administrative 6,914 6,816 645 955
Provision for
uncollectible accounts - - 1,695 2,203
Depreciation and
amortization 740 710 14 18
Interest 84 35 813 1,014
Loss on the early
retirement of debt - - 791 -
Special charges and
impairments 112 - - -
Total costs and
expenses 31,014 30,304 3,958 4,190
Operating income (loss) $828 $1,155 $471 $1,202
For the 53 Weeks Ended January 3, 2004 and the 52 Weeks Ended
December 28, 2002:
Corporate & Other Sears Canada
2003 2002 2003 2002
Merchandise sales and
services $372 $326 $4,158 $3,913
Credit and financial
products revenues - - 323 276
Total revenues 372 326 4,481 4,189
Costs and expenses
Cost of sales, buying
and occupancy 149 121 2,918 2,782
Selling and administrative 425 442 1,127 1,036
Provision for
uncollectible accounts - - 52 58
Depreciation and
amortization 43 55 112 92
Interest 18 - 110 94
Loss on the early
retirement of debt - - - -
Special charges and
impairments - - - 111
Total costs and
expenses 635 618 4,319 4,173
Operating income (loss) $(263) $(292) $162 $16
For the 53 Weeks Ended January 3, 2004 and the 52 Weeks Ended
December 28, 2002:
Total
2003 2002
Merchandise sales and services $36,372 $35,698
Credit and financial products revenues 4,752 5,668
Total revenues 41,124 41,366
Costs and expenses
Cost of sales, buying and occupancy 26,231 25,646
Selling and administrative 9,111 9,249
Provision for uncollectible accounts 1,747 2,261
Depreciation and amortization 909 875
Interest 1,025 1,143
Loss on the early retirement of debt 791 -
Special charges and impairments 112 111
Total costs and expenses 39,926 39,285
Operating income (loss) $1,198 $2,081
Gain on the sale of Credit and Financial
Products $4,143 $-
Gain on the sale of National Tire & Battery $81 $-
Other income $27 $372
Income before cumulative effect of
accounting change $3,397 $1,584
Cumulative effect of change in accounting $- $(208)
Net Income $3,397 $1,376
EPS - Diluted $11.86 $4.29
Average shares o/s 286.3 320.7
SEARS, ROEBUCK AND CO.
SUPPLEMENTAL INFORMATION - INVENTORY, BALANCE SHEET AND STORE COUNT
($ in millions)
Domestic Inventories:
January 3, December 28,
2004 2002
-LIFO $4,728 $4,635
-FIFO $5,308 $5,237
For the 14 Weeks Ended For the 53 Weeks Ended
January 3, 2004 January 3, 2004
and the 13 Weeks Ended and the 52 Weeks Ended
December 28, 2002 December 28, 2002
Pretax LIFO (credit)/charge $(52) $(19) $(22) $11
Balance Sheet Information: January 3, 2004 December 28, 2002
Sears Sears
Domestic Canada Domestic Canada
Cash and cash equivalents $9,024 $97 $1,855 $107
Short-term borrowings $719 $314 $4,397 $128
Long-term debt (including
current portion):
Long-term borrowings $5,274 $1,308 $23,822 $1,223
Capitalized lease
obligations $354 $142 $331 $127
SFAS No. 133 Hedge
Accounting Adjustment $90 $- $609 $-
Domestic Retail Stores:
January 3, December 28,
2004 2002
Full-line 871 872
Specialty 1,105 1,305
Lands' End 16 15
Total 1,992 2,192
On November 29, 2003, the Company sold its National Tire & Battery
business resulting in a reduction in Specialty stores of 227 stores. In
addition during 2003, the Company opened 47 stores consisting of four
Full-line stores, 42 Specialty stores and one Lands' End outlet store.
The Company also closed 20 stores consisting of five Full-line stores and
15 Specialty stores.
SEARS, ROEBUCK AND CO.
SUPPLEMENTAL INFORMATION - SUMMARY OF SIGNIFICANT ITEMS
($ in millions, except earnings per share)
Summary of Significant
Items: For the 14 Weeks For the 53 Weeks
Ended Ended
January 3, 2004 January 3, 2004
Earnings Earnings
Pretax Per Share Pretax Per Share
Gain on the sale of domestic
Credit and Financial
Products $4,143 $10.38 $4,143 $9.18
Gain on the sale of National
Tire & Battery 81 0.20 81 0.18
Loss on the early retirement
of debt (791) (1.98) (791) (1.75)
The Great Indoors special
charge - - (141) (0.31)
Gain on the sale of previously
charged-off credit card
receivables - - 93 0.20
$3,433 $8.60 $3,385 $7.50
For the 13 Weeks For the 52 Weeks
Ended Ended
December 28, 2002 December 28, 2002
Earnings Earnings
Pretax Per Share Pretax Per Share
Gain on the sale of Advance
Auto Parts investment $265 $0.56 $336 $0.74
Change in accounting estimate
for the allowance for
uncollectible accounts - - (300) (0.59)
Cumulative effect of a change
in accounting for goodwill - - - (0.65)
Sears Canada Eaton's conversion - - (111) (0.13)
$265 $0.56 $(75) $(0.63)
SOURCE Sears, Roebuck and Co. News Media, Edgar P. McDougal, +1-847-286-9669, or Investors, Scott A. Bohaboy, +1-847-286-7419, both of Sears, Roebuck and Co. |
| "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding Sears Holdings Corp's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year. |