- Our second quarter 2008 results include the positive impact of the reversal of a $62M ($37M after tax or $0.29 per diluted share) reserve because of the overturning of the previously disclosed February 2, 2007 adverse jury verdict relating to the redemption of certain Sears, Roebuck and Co. bonds in 2004. Excluding this item, earnings per diluted share were $0.21 for the Q2 of fiscal 2008. The decline in our second quarter results from the same quarter last year primarily reflects lower operating results at both Sears Domestic and Kmart, partially offset by improved operating results at Sears Canada.
- CEO: Our second quarter results reflect the continued effects of a slowing economy which contributed to the earnings declines we have experienced since the third quarter of 2007. While it was a difficult quarter, we were successful in reducing our domestic inventory levels by $500M which should lead to lower markdowns and favorably impact our gross margin rates in the second half of the year
- Q2 Merchandise inventories at August 2, 2008 were $9.8B v $10.2B (-4% y/y)
- Q2 Domestic inventory $8.9B v $9.4B (-5.4% y/y)
- Decline in the inventory is reflecting the effectiveness of co's efforts to control inventory levels.
- 2008 EBITDA no longer Exceeds 2007 EBITDA

- Q2 Gross Margin 26.5% v 26.7%

Other headlines for [SHLD]

• SFD 12/2/2008 09:56am
  Smithfield Foods Inc. Update: Price Target lowered to $8 from $24 at Credit Suisse- pre-open - SHLD Price Target lowered to $20 from $35, maintains underperform rating
  
• SHLD 12/2/2008 06:00am
  Sears Holding Corp. Reports Q3 -$0.90 v -$0.49e (ex items), R $10.7B v $10.93Be, SSS -10.6%; increases share buyback by $500M (12.5% of market cap)- Q3 Merchandise inventories $11.4B v $12.1B y/y - Q3 EBITDA $148M v more...
  
• SHLD 11/19/2008 03:37pm
  Sears Holding Corp. Pershing's Ackman: Sears owns properties that TGT would 'love to have'
  
• SHLD 11/12/2008 06:01pm
  Sears Holding Corp. To offer layaway plan- Sears today announced it will offer layaway on a wide selection of merchandise. - Beginning Sunday, Nov. 16, Sears will enable customers to reserve the best merchandise, pay more...
  
• SHLD 11/12/2008 05:57pm
  Sears Holding Corp. Acquires additional 327.7K shares at C$16.37/shr (less than 1% of shares outstanding)
  

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