Sears Plans To Close Stores And Lay Off Workers

"We disclosed (in the second quarter earnings) that we would be closing unprofitable stores as leases expire and in some cases will accelerate closings when it is economically prudent," Sears said in the statement.

The company will disclose which stores it is closing in its next earnings report later this year.

Seeking Alpha reported that Sears would be closing more than 100 stores and laying off 5,500 workers, but the company denies that these numbers are accurate.

Shares rose slightly higher on the news.

A Sears spokesman noted that it has 200,000 workers between its namesake and K-Mart brands.

The department store has been bleeding cash, and posted its ninth straight quarterly loss in August.

Sears CEO Eddie Lampert said that the company would close even more stores and cut costs in the coming months to combat the "unacceptable" losses.

Earlier this year, former Sears executive Steven Dennis wrote that he believed a turnaround was impossible.

"The uncomfortable and sad reality is this: Sears has zero chance of transforming itself into a viable retail entity," Dennis said.