Sept 7 Department store operator Sears Canada
Inc reported a quarterly loss, compared with a
year-earlier profit, hurt by a 15.6 percent fall in sales.
The company said same-store sales fell 5.5 percent as
traffic for big-ticket items such as major appliances fell due
to termination of a credit card agreement and
lower-than-expected sales of new merchandise launched in spring.
Bank of Nova Scotia said in October it would buy
JPMorgan & Chase Co's Canadian credit card portfolio
associated with Sears Canada.
Sears Canada, hit by increasing competition from U.S. retail
giants such as Wal-Mart Stores Inc, has been shutting
down stores and cutting jobs.
The company said it cut C$128 million in costs for the first
half of this year and said it was planning cost cuts at the
higher end of its previously announced C$127 million-C$155
Sears Canada posted a net loss of C$91.6 million ($71.32
million), or 90 Canadian cents per share, for the second quarter
ended July 30, compared with a profit of C$13.5 million, or 13
Canadian cents per share, a year earlier.
The year-earlier quarter included a gain of C$67.2 million
as a result of sale-and-leaseback transactions.
Revenue fell to C$648.5 million from C$768.8 million.
($1 = 1.2844 Canadian dollars)
(Reporting by Anet Josline Pinto in Bengaluru; Editing by