Kmart Issues Profit Warning
DETROIT - Kmart Corp. on Thursday warned it won't meet Wall Street's profit expectations of a penny per share for the full year ending Jan. 30, and suggested it may seek additional financing, The Associated Press reports.
Kmart said it was in talks with its lenders about financing, which fueled more speculation that the company, which has been struggling to reverse its declining market share with Blue Light specials and other strategies, may be heading for Chapter 11 reorganization.
Jack Ferry, a Kmart spokesman, declined to comment to the AP on whether the retailer was planning to file Chapter 11, only saying, "We're reviewing our liquidity needs ... if we have something to announce, we'll announce it."
Kmart said it was in talks with its lenders about financing, which fueled more speculation that the company, which has been struggling to reverse its declining market share with Blue Light specials and other strategies, may be heading for Chapter 11 reorganization.
Jack Ferry, a Kmart spokesman, declined to comment to the AP on whether the retailer was planning to file Chapter 11, only saying, "We're reviewing our liquidity needs ... if we have something to announce, we'll announce it."