“Thus, Lazard has expended a substantial amount of time advising and negotiating the terms of the sale of the Sears Home Improvement business, the sale of the Parts Direct business, and the sale of the SearsHomeServicesbusiness. As a result, the Debtors and Lazard have renegotiated the fee cap.“. Seems like Eddie and ESL didn’t get all the business units or someone is lying to everyone!
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Sheesh. Does any of this back and forth between all of you even matter? If ESL did purchase it they'll just run it into the ground like they did everything else at Sears or they'll liquidate it internally. You all should be posting on job boards instead of here.
Wasn't that stuff sold previously to service.com?
Here this will clear up who owns sears a&e and everything else. What are you going to say now? Uneducated, all you have to do is read a little if you can that is. Your most likely a disgruntled retail slave who was let go due to lack thereof performance I'm guessing. No hard feelings aye? Cheers!
https://www.sec.gov/Archives/edgar/data/923727/000119312519012110/d687440dex9986.htm
Which didn’t include A&E, SHIPS or Parts
Just no basis. Your reading it incorrectly. He got everything in the bid.
You can find all of the BU breakdowns in the financials. Very easy to find. A&E, SYW, parts direct, Auto etc are are independent BU and must fight for a piece of the pie that is or was SHC.
Just as an example you can plainly see that SHC pays SYW a fee for every time someone signs up for SYW and uses the platform. Eddie did not bid on A&E, Ships, or parts direct. He has no interest in these and he will probably use these to get cash flow until he can get the RE and close down SHC and start Transform Holdco.
Alright kids. Settle down. Let me summarize how profits are calculated. If I had crayons I'd draw it for you to make it easier. If a company brings in millions each month but shells out millions more in expenses... then yes... it will shut down. That's called not being profitable. If a company brings in millions each month and shells out millions less in expenses... then no... it'll continue to operate ruining peoples appliances and generating media complaints. That's called being profitable but operationally worthless. So valuing a company only on the "millions it brings in each month" is not how businesses report profit. Back to work children.
So you think that there just gonna shut down a company that brings in millions of dollars a month? Show proof where it states this, and where it states sears and A&E are different companies and that Eddie is not getting certain "BU" as you call them or move on.
what's yur source that home services IS profitable... DM... TM... mom... yellow M&M's? if you believe anything that anyone within the BUSINESS UNIT bahaha tells you then yur a model employee. drink up from yur sippy cup fella there's more kool aid coming from your TM soon
Where's your sources that your info is coming from? Your just making uneducated claims an guessing. A&E and all other "BU" you speak of as they are segregated or something are owned and operated by Sears. Eddie's bid gets all of it not just this or that, all period.
A&E is good?! A moneymaker?! Who told you that... let me guess, A&E leadership? Swallow your kool aid and pay attention. Literally all operating profit generated by home services. The last year we were told it actually reported profit was 2015 and that’s before Seritage assumed most of the real estate used by home services and then turned around and rented the facilities back to home services. And ever since any perception of profitability was created after finance cooked the books to make it look that way. Any “profit” was immediately stripped from the BU to spread out over slumlord Eddie’s other BU’s operating losses. Home services signs leases for vehicles & technology and even has to buy parts from Sears Parts Direct. And payroll overhead is NOT value just because you’re one of the bodies they employ. There’s zero value beyond the brand name itself and even that’s debatable. That’s why Ace backed out of their low $80M offer. The balance sheets couldn’t be verified as accurate. Can A home services company turn a profit? Sure. Does SEARS home services turn a profit? Not a chance.
I’m not sure they actually were sold to anyone
I believe they’re asking for repayment for the time spent shopping them when Ace submitted an offer to buy SHIP. I don’t think the offer ever culminated.
Uhhh.....someone want to tell him that A&E is one of the many business units that makes up SHC? Along with Retail, Auto, KCD, etc. Eddie very clearly did not bid on either A&E or SHIPS. Only he knows why, but it probably does have to do with the previously mentioned fact that A&E is a large number of equipment leases and employees, and little to nothing else.
As for being a moneymaker—bwahahahaha. Maybe for the follow on folks that come in after A&E screws everything up, or Sedgwick for being responsible for administering so many claims for damage.
You guys are idi©ts. A&E is good, there a moneymaker. He got everything, there's no separate business unit. SMH, get back to selling them warranties so your TM can get its cut from your sales
I just shipped my pants, and I used my big gas savings to do it!
There's nothing quick about Eddie's flipping of Sears' assets. A competent hedge fund manager would have finished the job by 2006.
Considering home services is almost entirely compromised of leased equipment and payroll overhead instead of tangible assets with value held in liquidity I wouldn’t be surprised if ESL passed on that BU and let’s the PA service portfolio collapse for insurance companies to handle the defaults. I believe most service agreements are now held or underwritten by 3rd party service providers anyway so there probably isn’t much value in the A&E brand. Eddie’s not interested in being a service operator... he’s interested in being a liquidator. Real estate is where he’ll come out ahead on his bid.
It looks like ESL bid for all the remaining assets. Perhaps ESL is looking to flip some of the business units and make a quick profit.
Spending time "advising and negotiating the terms of the sale" doesn't necessarily mean the sale was completed. Attempted mergers/acquisitions fail to complete all the time.
Can I still get my dryer repaired?
Because Eddie is an insider and also controls ESL, he has to file tons of public disclosure forms with the SEC for each and every thing he bids on in each and every bid. To my recollection, nothing was filed concerning a bid on the BUs in question. He didn’t even try for stalking horse status in the bidding.
1579 and 1580 are quite interesting. It states that Lazard was extensively evaluating the sale of these businesses. How do we know for sure those businesses were not sold to ESL in the auction?
“Thus, Lazard has expended a substantial amount of time advising and negotiating the terms of the sale of the Sears Home Improvement business, the sale of the Parts Direct business, and the sale of the Sears Home Services business. As a result, the Debtors and Lazard have renegotiated the amount of the fee cap to take in account the foregoing sale services and related sale fees.”
Eddie’s bid was fairly clear that SHIPS and A&E weren’t covered. Dunno about the dumpster fire that is Parts “Direct.” All he’s getting is the BUs that were explicitly NOT for sale separately.