Beaverton Kmart, Sears To Close, Company Announces

BEAVERTON, OR — Two more Sears company stores in the Beaverton area on Monday were identified as sites slated to close as part of the nationwide Sears bankruptcy shakeup. A Salem store will also reportedly close.

The Oct. 15 closure announcement was released in conjunction with the company's admission that it filed for Chapter 11 bankruptcy the same day a $134 million debt payment was expected to be made by Sears Holdings, the Illinois-based parent company of Sears and Kmart. The Monday announcement identified 142 Sears and Kmart stores closing across the country.

The announcement apparently caught many Sears/Kmart managers and employees off-guard.

Sears officials at the company's Hoffman Estates, Illinois, headquarters made the announcement just before 6:30 a.m. on the West Coast, just as Washington Square's Sears Auto Center Manager Dan Svihla was heading into work at 9800 S.W. Washington Square Rd.

Svihla told Patch his phone was ringing nonstop as he drove in to work Monday morning. However, at this time, he has no idea how the announcement will affect his auto center or the eight employees he oversees. Svihla said there are multiple conference calls scheduled for Monday.

The manager at Kmart in Beaverton was unwilling to tell Patch anything about her store at 3955 S.W. Murray Blvd., including the number of employees potentially affected by the store's impending closure.

"Over the last several years, we have worked hard to transform our business and unlock the value of our assets," CEO Edward S. Lampert said in a statement issued early Monday. "While we have made progress, the plan has yet to deliver the results we have desired, and addressing the Company's immediate liquidity needs has impacted our efforts to become a profitable and more competitive retailer.

"As we look toward the holiday season, Sears and Kmart stores remain open for business and our dedicated associates look forward to serving our members and customers," Lampert added.

The company also said Lampert will step down as CEO. Mohsin Meghji, managing partner of M-III Partners, has reportedly been named Sears Holdings' chief restructuring officer, and an independent restructuring committee has been formed.

Previously, Sears announced it would close dozens of stores the company deemed unprofitable, which included the Kmarts at 440 N.W. Burnside Rd. in Gresham and 12350 N.E. Sandy Blvd. in Portland, the Sears at 11800 S.E. 82nd Ave. in Happy Valley, and the Sears at 8800 N.E. Vancouver Mall Dr. in Vancouver, Washington.

It appears as though some Oregon-based stores will remain open — at least for now.

More Patch coverage:

• Sears Lays Off 220 At Illinois Headquarters
• Sears Raises $100 Million, Looks At $200 Million In Cuts
• After Layoffs, Sears Gets $210 Million Loan
• Sears CEO's Hedge Fund Wants To Buy Kenmore, Other Assets

Joe Vince, Patch Staff, contributed to this report

Image via Scott Olson|Getty Images