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SHLDQ - Sears Holdings Corp


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Looks like Ubiquity is making progress.  This article out today...

 

https://www.datacenterknowledge.com/archives/2013/11/14/ubiquity-will-convert-sears-auto-centers-data-centers/

 

Quick excerpt:

Ubiquity Critical Environments, the data center unit of Sears Holdings, plans to build a national chain of IT facilities by converting dozens of Sears Auto Center stores into data centers. It is partnering with Schneider Electric, a leading provider of data center equipment and services, to build and operate a fleet of mission-critical facilities in at least 23 markets around the country.

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Fairholme/Berkowitz added about 365,000 shares in Q3 (from 20,393,000 to 20,758,000)... an increase of a little under 2%.  http://www.sec.gov/Archives/edgar/data/1056831/000091957413006704/xslForm13F_X01/infotable.xml

 

Francis Chou also added in Q3... first time in awhile.  He increased his share count by 17% since last quarter... now 803,000 shares up from 683,000.

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Fairholme/Berkowitz added about 365,000 shares in Q3 (from 20,393,000 to 20,758,000)... an increase of a little under 2%.  http://www.sec.gov/Archives/edgar/data/1056831/000091957413006704/xslForm13F_X01/infotable.xml

 

Francis Chou also added in Q3... first time in awhile.  He increased his share count by 17% since last quarter... now 803,000 shares up from 683,000.

 

Fairholme sold ~1% of the BAC and AIG stash but bought more SHLD.

 

Interesting.

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With the new filing today from Berkowitz, I've updated his last few years of historical SHLD ownership.

 

 

Aug 2010:      14,037,171

 

Nov 2010:      14,661,671

 

Feb 2011:      14,917,873

 

May 2011:      16,313,973

 

Aug 2011:      16,380,680

 

Nov 2011:      16,270,692

 

Feb 2012:      16,108,492

 

May 2012:        16,813,480

 

Aug 2012:        16,829,880

 

Nov 2012:        16,934,080

 

Feb 2013:        18,146,573

 

May 2013:        19,508,773

 

Aug 2013:        20, 392,973

 

Nov 2013:        20,758,173

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http://finance.yahoo.com/news/sears-unit-terminates-lease-contracts-225005039.html

 

"Following the closure of these 5 stores the company will operate 111 full-line department stores across Canada"

 

I hope people realize that a few stores' proceeds are a third of the whole market cap, unless the remaining stores are worthless... regardless, these are good moves in my view.

 

 

 

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Guest hellsten

http://www.fool.com/investing/general/2013/11/04/sears-holdings-more-value-unlocking-transactions.aspx

 

Interestingly, the managing director of Imperial Capital LLC suggested a valuation of as much as $1.7 billion to Bloomberg for Lands End. Recently Rue21 was taken private for 10.9 times EBITDA. Baker Street provided a mid-point valuation of around $1.4 billion for the division.

 

The auto center has little in the way of comparable stocks, but Monro Muffler Brake Inc. (NASDAQ: MNRO) does provide an interesting comparison. That company is currently valued at $1.5 billion with revenue growing double digits at around $200 million a quarter. Monro Muffler operates a similar 940 stores to SAC and sits near multi-year highs. The probability and valuation of Monro suggests now might be an opportune time to separate auto centers. The lack of national brands for auto repairs and the huge success of auto parts stocks suggest the potential to unlock a national brand. Worth noting was the recently reported 6% decline for tire related revenue backing up the move to position SAC away from that service offering.

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Fairholme/Berkowitz added about 365,000 shares in Q3 (from 20,393,000 to 20,758,000)... an increase of a little under 2%.  http://www.sec.gov/Archives/edgar/data/1056831/000091957413006704/xslForm13F_X01/infotable.xml

 

Francis Chou also added in Q3... first time in awhile.  He increased his share count by 17% since last quarter... now 803,000 shares up from 683,000.

 

Fairholme sold ~1% of the BAC and AIG stash but bought more SHLD.

 

Interesting.

 

I guess it is not too surprising when BAC and AIG hit new multi-year highs and SHLD dropped by about 1/3 from it's highs from Q2 down to below $40. Now that SHLD is back up to $65, I wonder if Berkowitz flipped the other way again. It is nice to get a sense of Berkowitz's relative valuation between BAC and AIG vs SHLD and when he is willing to swap between them.

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Fairholme/Berkowitz added about 365,000 shares in Q3 (from 20,393,000 to 20,758,000)... an increase of a little under 2%.  http://www.sec.gov/Archives/edgar/data/1056831/000091957413006704/xslForm13F_X01/infotable.xml

 

Francis Chou also added in Q3... first time in awhile.  He increased his share count by 17% since last quarter... now 803,000 shares up from 683,000.

 

Fairholme sold ~1% of the BAC and AIG stash but bought more SHLD.

 

Interesting.

 

I guess it is not too surprising when BAC and AIG hit new multi-year highs and SHLD dropped by about 1/3 from it's highs from Q2 down to below $40. Now that SHLD is back up to $65, I wonder if Berkowitz flipped the other way again. It is nice to get a sense of Berkowitz's relative valuation between BAC and AIG vs SHLD and when he is willing to swap between them.

 

Berkowitz does a lot of tax related moving around of his core holdings. The moves in BAC and AIG are insignificant really.....Let's just say he's still huge into BAC, AIG, and SHLD and showing no sign of losing his conviction in any of them.

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I am a little concerned that this isn't a great deal.  See this article - "Sears Canada Swaps Properties for Loonies" (http://wallstcheatsheet.com/stocks/sears-canada-swaps-properties-for-loonies.html/?ref=YF).  Looks like Sears gave up some good real estate and all they got back were some crazy people.

 

I'm not sure why you're concerned...?

 

How did they get crazy people back?

 

Looks like they sold for good money.

 

Because:

 

loon·y or loon·ey also lun·y  (ln) Informal

adj. loon·i·er also lun·i·er, loon·i·est also lun·i·est

1. Extremely foolish or silly.

2. Crazy; insane.

n. pl. loon·ies also loon·eys or lun·ies

A foolish or crazy person.

 

and,

 

The Canadian one dollar coin, commonly called the Loonie, is a gold-coloured one-dollar coin introduced in 1987.

 

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I am a little concerned that this isn't a great deal.  See this article - "Sears Canada Swaps Properties for Loonies" (http://wallstcheatsheet.com/stocks/sears-canada-swaps-properties-for-loonies.html/?ref=YF).  Looks like Sears gave up some good real estate and all they got back were some crazy people.

 

I'm not sure why you're concerned...?

 

How did they get crazy people back?

 

Looks like they sold for good money.

 

Because:

 

loon·y or loon·ey also lun·y  (ln) Informal

adj. loon·i·er also lun·i·er, loon·i·est also lun·i·est

1. Extremely foolish or silly.

2. Crazy; insane.

n. pl. loon·ies also loon·eys or lun·ies

A foolish or crazy person.

 

and,

 

The Canadian one dollar coin, commonly called the Loonie, is a gold-coloured one-dollar coin introduced in 1987.

 

 

You were joking, gotcha.

 

Cheers

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With the Sears Canada dividend it looks like Sears Holdings will get roughly $250M due to their stake in the company.

 

Too bad that I missed the boat for SCC. I think if we were to play the real estate thesis, probably SCC should have been a better bet earlier this year than SHLD.

Just my personal memorandum. :(

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With the Sears Canada dividend it looks like Sears Holdings will get roughly $250M due to their stake in the company.

 

Too bad that I missed the boat for SCC. I think if we were to play the real estate thesis, probably SCC should have been a better bet earlier this year than SHLD.

Just my personal memorandum. :(

 

I know what you mean...I was close to buy Sears Canada at 9 too...at least, it is good for SHLD and Lampert, who own most of Sears Canada anyway...

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Sears Holdings Corp.(SHLD-US) Schedules Bank of America-Merrill Lynch Leveraged Finance Conference

December 3, 2013 4:50 PM ET

 

Might be an interesting presentation

 

Where did you find that information?  Any info on how we could access it (conference call, open to investors, etc.)?

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BTShine,

 

The Merrill conference is in Boca Raton, FL and unfortunately as of right now, the Sears presentation isn't set to be webcast.  Maybe if you call the company they will change that part.  ;)

 

Or you could head to Boca (which would be pretty nice) and attend the conference in person (12/2-12/4).

 

 

 

 

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Q3 earning out

http://finance.yahoo.com/news/sears-holdings-reports-third-quarter-110000865.html

HOFFMAN ESTATES, Ill., Nov. 21, 2013 /PRNewswire/ -- Sears Holdings Corporation (SHLD) today announced financial results for its third quarter ended November 2, 2013. Net loss attributable to Holdings' shareholders was $534 million, or $5.03 loss per diluted share, compared to $498 million, or $4.70 loss per diluted share, in the prior year quarter. Adjusted EBITDA was $(286) million for the third quarter of 2013, which was within the range of our previous guidance from October 29, compared to $(172) million in the prior year quarter.
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My best guess is that they've spent about $210 million on SYW points so far this year. That's a significant portion of the EBITDA loss of $349 million YTD.

 

I'm very curious about the $2 billion of liquidity they've raised given their original target of $500 million...

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That's my concern as the cash burn rate is increasing!  I recently sold my remaining position at $64 and bought significantly in BAC leaps (Thanks Eric!)

 

Tks,

S

 

Someone has seen anything positive here?

 

If it wasn't for Sears Canada, the transformation is still going too slowly..they are burning a lot of cash!

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