Sears, Kmart merger OK'd.(Briefs)(Sears, Roebuck and Co.)(Kmart Holding Corp.)(Brief Article)

Crain's Chicago Business, March, 2005

Shareholders of Sears, Roebuck and Co. and Kmart Corp. approved the $12.3-billion merger of the two companies, creating the third-largest U.S. retailer. The new company, to be called Sears Holding Corp. and based at Sears' headquarters in Hoffman Estates, will have $55 billion in annual sales and about 3,500 stores.

The merger was announced in November. Sears CEO Alan Lacy will be CEO of the combined entity, while Kmart's majority shareholder and chairman, Edward Lampert, will become chairman of the new company. Sears' 150,000 retirees were largely against the merger, fearing that efforts to whip two weaker retailers into shape would result in cuts to pensions and benefits.