http://www.dailyherald.com/business/20170515/sears-says-vendor-threatens-to-sue-to-break-its-contract
When you are attacking one of your biggest suppliers in public, that's not a good sign.
13 replies (most recent on top)
I think the members know it but even though I work in the store, there was something jarring about Eddie talking about One World & Craftsman.
Craftsman China, Inc. would sound better. One World sounds like something sold on eBay, AliAba or the Sears website with the shady vendors.
Are the "members" that stupid that they don't already know it?
Probably not the brightest business idea to tell your members you're buying your "name brand" from China.
$868 million over 10 years and you think they're one of our "biggest suppliers"? One World isn't even in our Top 75 vendors. A store will see ~$30k of Hardware freight come in each week. Over the entire year a store might only receive $60k of One World sourced product.
@alh, I think I got it. Craftsman is going to be made & sold by both Sears & Black & Decker. Sears for 15 years.
If you were One World who would you want to go with?
I don't know the ins and outs of the contract, but just guessing here I would assume that the Chinese company feel they don't owe Sears anything due to the Brand being sold to another company. I can feel where they're coming from,why would I continue to give you products for something you sold off. Sounds like Sears is trying to recieve products and services on something they don't own anymore.
@cer, you should start reading entire articles, not just the headlines. You obviously don't even know the basic facts in the Craftsman sale.
If this company makes the Craftsman tools, wouldn't it be making the tools for Black & Decker? Now. Or trying to?
One World might want to break the contract because the terms have changed. Sears no longer owns Craftsman.
Obviously I don't know their contract but my hunch is that this may have to do with the Craftsman SALE and was foreseeable & par for the course in business. Eddie may be using this to garner sympathy but what the Chinese company is threatening to litigate may be a very different story.
SHC hasnt been paying their bills. Eventually all of their vendors are gonna want their money.
Time for an SEC investigation and jail time for the Enron like corporate leaders at SHC. Ever wonder why many of the top execs are leaving in droves? Just wait.
The more Eddie goes on his rants, the less confidence stakeholders have in the ability of Sears Holdings to survive. It amazes me how out of touch Lampert really is. He's avoided giving interviews or talking to the media for years. Now he wants to blame the media for getting the narrative wrong.
That's my take. He doing damage control now so that when the end comes (shortly) that he can deflect blame.
It's game over. Eddie sounds like all the executives that go on TV blaming everyone else for his failures. Just look back to the financial crisis and the parade of executives that went on TV saying everything was okay and blaming the media for their troubles only to file for bankruptcy. The end is near.