Last stores of Sears Canada close for good
loading...
Business
Sunday was a sad day in Vancouver, as the last remaining Sears department store closed its doors for good. Sears Canada declared bankruptcy last year and announced in the fall that it would liquidate its remaining stores.
Sunday was to be the company’s final day of sales. Although the
discounts began in October, when the
Sears Canada’s liquidation has taken the Canadian retail by storm
Sears Canada’s closure has sparked a number of controversies, especially in regards to the more than 260 million dollars shortfall in its pension plan while intending to pay high compensation to senior management. The department store operator first wanted to pay a total 7.6 million dollars to 43 top executives, but revised that to a total of 6.5 million dollars to 36 employees after a public backlash.
Soon later, an Ontario judge approved the reduction, but some employees argued it was still too much money given the company was also facing a 19 percent pension plan funding shortfall, meaning employees would likely see a similar cut to their benefits, recalls Bloomberg.
A plan by executive chairman Brandon Stranzl to keep the company afloat and operating was discharged by investors, who favoured the company’s liquidation.
In a farewell note posted on its Canadian website, the company says goodbye to many generations of consumers: ”Over the past 18 months, Sears Canada had embarked on a reinvention plan that had begun to gain traction with customers. Unfortunately, despite the outstanding efforts of dedicated associates across the Company, Sears Canada does not have the financial resources to provide it with the time necessary to complete its reinvention. As a result, Sears Canada is winding down its operations and shopping is no longer available online. Please see below the list of stores currently open for liquidation. We appreciate having had you as a customer, and hope you find some great bargains for you and your family. Sincerely, Your friends at Sears Canada.”