The embattled Indianapolis-based organization filed a Chapter 11 bankruptcy petition Wednesday as it attempts to reach settlements in the dozens of sex-abuse lawsuits it faces and to forestall its potential demise at the hands of the U.S. Olympic Committee.
Suppliers are still gun-shy after their experience with Toys 'R' Us, which went out of business months after filing for Chapter 11 reorganization in the fall of 2017, leaving them with millions of dollars in unpaid bills.
Indianapolis-based Simon Property Group and other mall landlords actually might be looking forward to redeveloping Sears' massive stores with more promising tenants as the once-mighty retailer enters bankruptcy.
Sears Holdings Corp., the struggling U.S. retailer owned by hedge fund manager Eddie Lampert, is focused on a deal that would preserve stakeholders’ value in a court restructuring, according to a person with knowledge of the matter.
Without a big settlement, or a resounding victory at trial, victims in the fraud would be left with an underwhelming recovery—currently 11 cents on the dollar, based on distributions of $18 million in December 2015 and $5 million last October.
Among the closures will be the store in Circle Centre in downtown Indianapolis—an original tenant in the mall when it opened in 1995. The only other Brookstone store in Indiana is at Indianapolis International Airport.