EX-99.3 4 d679707dex993.htm EX-99.3 EX-99.3

Exhibit 99.3

 

In re: Sears Holdings Corporation, et al.    Case No. 18-23538 (RDD)
Debtors    Reporting Period: December 2, 2018 - January 5, 2019
   Federal Tax I.D. # 20-1920798

GLOBAL NOTES AND STATEMENTS OF LIMITATIONS

AND DISCLAIMERS REGARDING THE DEBTORS’ MONTHLY OPERATING REPORTS

On October 15, 2018 (the “Petition Date”), Sears Holdings Corporation and 49 of its debtor affiliates, as debtors and debtors in possession in the above-captioned chapter 11 cases (collectively, the “Debtors,” and together with the Debtors’ non-debtor affiliates, the “Company”)1 filed voluntary petitions for relief under chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the Southern District of New York (the “Bankruptcy Court”). In addition, Debtors SHC Licensed Business LLC and SHC Promotions LLC filed their voluntary petitions for relief on October 18, 2018 and October 22, 2018, respectively. The Debtors’ chapter 11 cases are being jointly administered for procedural purposes only pursuant to Rule 1015(b) of the Federal Rules of Bankruptcy Procedure (the “Bankruptcy Rules”) under the caption Sears Holdings Corporation., et al., Case No. 18-23538 (RDD) (S.D.N.Y.), pursuant to an order entered by the Bankruptcy Court on October 15, 2018 [ECF No. 118]. On October 24, 2018, the United States Trustee for Region 2 (the “U.S. Trustee”) appointed an official committee of unsecured creditors pursuant to section 1102(a) of the Bankruptcy Code (the “Creditors’ Committee”) [ECF No. 276]. The Debtors continue to operate their business and manage their properties as debtors in possession pursuant to sections 1107(a) and 1108 of the Bankruptcy Code.

The following notes and statements and limitations should be referred to, and referenced in connection with, any review of the MOR.

 

  1.

Basis of Presentation. The Debtors are filing their consolidated monthly operating report (the “MOR”) solely for purposes of complying with the monthly operating requirements applicable in the Debtors’ chapter 11 cases. The MOR is in a format acceptable to the U.S. Trustee for the Southern District of New York (the “U.S. Trustee”). The MOR should not be relied upon by any persons for information relating to current or future financial conditions, events, or performance of any of the Debtors or their affiliates.

 

1 

The Debtors in these chapter 11 cases, along with the last four digits of each Debtor’s federal tax identification number, are as follows: Sears Holdings Corporation (0798); Kmart Holding Corporation (3116); Kmart Operations LLC (6546); Sears Operations LLC (4331); Sears, Roebuck and Co. (0680); ServiceLive Inc. (6774); SHC Licensed Business LLC (3718); A&E Factory Service, LLC (6695); A&E Home Delivery, LLC (0205); A&E Lawn & Garden, LLC (5028); A&E Signature Service, LLC (0204); FBA Holdings Inc. (6537); Innovel Solutions, Inc. (7180); Kmart Corporation (9500); MaxServ, Inc. (7626); Private Brands, Ltd. (4022); Sears Development Co. (6028); Sears Holdings Management Corporation (2148); Sears Home & Business Franchises, Inc. (6742); Sears Home Improvement Products, Inc. (8591); Sears Insurance Services, L.L.C. (7182); Sears Procurement Services, Inc. (2859); Sears Protection Company (1250); Sears Protection Company (PR) Inc. (4861); Sears Roebuck Acceptance Corp. (0535); Sears, Roebuck de Puerto Rico, Inc. (3626); SYW Relay LLC (1870); Wally Labs LLC (None); SHC Promotions LLC (9626); Big Beaver of Florida Development, LLC (None); California Builder Appliances, Inc. (6327); Florida Builder Appliances, Inc. (9133); KBL Holding Inc. (1295); KLC, Inc. (0839); Kmart of Michigan, Inc. (1696); Kmart of Washington LLC (8898); Kmart Stores of Illinois LLC (8897); Kmart Stores of Texas LLC (8915); MyGofer LLC (5531); Sears Brands Business Unit Corporation (4658); Sears Holdings Publishing Company, LLC. (5554); Sears Protection Company (Florida), L.L.C. (4239); SHC Desert Springs, LLC (None); SOE, Inc. (9616); StarWest, LLC (5379); STI Merchandising, Inc. (0188); Troy Coolidge No. 13, LLC (None); BlueLight.com, Inc. (7034); Sears Brands, L.L.C. (4664); Sears Buying Services, Inc. (6533); Kmart.com LLC (9022); and Sears Brands Management Corporation (5365); and SRe Holding Corporation (4816). The location of the Debtors’ corporate headquarters is 3333 Beverly Road, Hoffman Estates, Illinois 60179.


In re: Sears Holdings Corporation, et al.    Case No. 18-23538 (RDD)
Debtors    Reporting Period: December 2, 2018 - January 5, 2019
   Federal Tax I.D. # 20-1920798

 

In preparing the MOR, the Debtors relied on financial data derived from their books and records that was available at the time of preparation. Subsequent information or discovery may result in material changes to the MOR and errors or omissions may exist. Notwithstanding any such discovery, new information, or errors or omissions, the Debtors do not undertake any obligation or commitment to update the MOR.

This MOR has not been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and does not include all of the information and footnotes required by U.S. GAAP. Therefore, there can be no assurance that the consolidated financial information presented herein is complete, and readers are strongly cautioned not to place undue reliance on the MOR.

The information furnished in this report includes primarily normal recurring adjustments but does not include all the adjustments that would typically be made for the quarterly and annual consolidated financial statements to be in accordance with U.S. GAAP. Certain adjusting entries (including, but not limited to, income tax expense and intercompany profit eliminations) are only prepared on a quarterly basis, and therefore any such adjustments included herein are based on information as of November 3, 2018, the Debtors’ fiscal third quarter end. Furthermore, the monthly financial information contained herein has not been subjected to the same level of accounting review and testing that the Debtors apply in the preparation of their quarterly and annual consolidated financial information in accordance with U.S. GAAP. Accordingly, upon the application of such procedures, the Debtors believe that the financial information may be subject to change, and these changes could be material. Finally, the Debtors’ fiscal year end is on February 2, 2019, and their audited consolidated financial statements will be prepared following that date.

In future periods, any changes to prior period balances will be reflected in the current month’s MOR.

The results of operations contained herein are not necessarily indicative of results that may be expected from any other period or for the full year and may not necessarily reflect the consolidated results of operations and financial position of the Debtors in the future.

 

  2.

Reporting Period. Unless otherwise noted herein, the MOR generally reflects the Debtors’ books and records and financial activity occurring during the applicable reporting period. Except as otherwise noted, no adjustments have been made for activity occurring after the close of the reporting period.

 

  3.

Consolidated Entity Accounts Payable and Disbursements Systems. Cash is received and disbursed by the Debtors as described in the Motion of Debtors for Authority to (I) Continue Using Existing Cash Management System, Bank Accounts, and Business Forms, (II) Implement Ordinary Course Changes to Cash Management System, (III) Continue Intercompany Transactions, and (IV) Provide Administrative Expense Priority for Post-Petition Intercompany Claims and Related Relief (the “Cash Management Motion”) to the extent approved in the order granting the Cash Management Motion on a final basis (the “Final Cash Management Order”) [ECF No. 1394].


In re: Sears Holdings Corporation, et al.    Case No. 18-23538 (RDD)
Debtors    Reporting Period: December 2, 2018 - January 5, 2019
   Federal Tax I.D. # 20-1920798

 

  4.

Accuracy. The financial information disclosed herein was not prepared in accordance with federal or state securities laws or other applicable non-bankruptcy law or in lieu of complying with any periodic reporting requirements thereunder. Persons and entities trading in or otherwise purchasing, selling, or transferring the claims against or equity interests in the Debtors should evaluate this financial information in light of the purposes for which it was prepared. The Debtors are not liable for and undertake no responsibility to indicate variations from securities laws or for any evaluations of the Debtors based on this financial information or any other information.

 

  5.

Debtor-in-Possession Financing. On November 30, 2018, the Debtors received authorization from the Bankruptcy Court to access their $1,830,378,380 Debtor-in-Possession ABL Facility on a final basis pursuant to the Final Order (I) Authorizing the Debtors to (A) Obtain Post-Petition Financing, (B) Grant Senior Secured Priming Liens and Superpriority Administrative Expense Claims, and (C) Utilize Cash Collateral; (II) Granting Adequate Protection to the Pre-Petition Secured Parties; (III) Modifying the Automatic Stay; and (IV) Granting Related Relief [ECF No. 955] (the “Final DIP ABL Order”), and on December 28, 2018 the Debtors received authorization to access on a final basis their $350 million Junior Debtor-in-Possession Facility pursuant to the Final Junior DIP Order (I) Authorizing the Debtors to (A) Obtain Post-Petition Financing and (B) Grant Secured Priming Liens and Superpriority Administrative Expense Claim; (II) Modifying the Automatic Stay; and (IV) Granting Related Relief [ECF No. 1436] (the “Final Junior DIP Order,” and together with the Final ABL DIP Order, the “DIP Orders”) and the documents governing the Debtor-in-Possession financing thereunder (the “DIP Loan Documents”). Please see the DIP Orders for additional detail.

 

  6.

Payment of Pre-Petition Claims Pursuant to First Day Orders. Within the first two days of the Debtors’ chapter 11 cases, the Bankruptcy Court entered orders (the “First Day Orders”) authorizing, but not directing, the Debtors to pay, on an interim basis, certain pre-petition (a) claims of critical vendors, shippers, warehousemen, other lien claimants, and foreign creditors; (b) taxes; (c) employee wages, salaries and other compensation and benefits; and (d) obligations related to the use of the Debtors’ cash management system, among other things. On November 16, 2018, the Bankruptcy Court approved the relief requested in connection with the First Day Orders on a final basis, except for the Final Cash Management Order, which was entered on December 21, 2018. To the extent any payments were made on account of such claims or obligations following the commencement of these chapter 11 cases pursuant to the authority granted to the Debtors by the Bankruptcy Court under the First Day Orders, such payments have been included in the MOR unless otherwise noted.


In re: Sears Holdings Corporation, et al.    Case No. 18-23538 (RDD)
Debtors    Reporting Period: December 2, 2018 - January 5, 2019
   Federal Tax I.D. # 20-1920798

 

  7.

Reservation of Rights. The Debtors reserve all rights to amend or supplement the MOR in all respects, as may be necessary or appropriate. Nothing contained in this MOR shall constitute a waiver of any of the Debtors’ rights or an admission with respect to their chapter 11 cases.

 

  8.

Specific MOR Disclosures.

 

  a.

Notes to MOR-la: The net cash receipts represent cash received by each Debtor assigned bank account.

 

  b.

Notes to MOR-1b: Certain Debtors make disbursements on behalf of other Debtors. The net cash disbursements represents cash disbursed by the applicable Debtor excluding disbursements made on behalf of other Debtors, which are reflected on the accounts of the Debtors on whose behalf they are made. The total disbursements (for quarterly fee purposes) represent the disbursements made on behalf of each affiliated Debtor.

 

  c.

Notes to MOR-1c: All amounts listed are the bank balances as of the date in the respective footnote on MOR 1-c. The Debtors have, on a timely basis, performed bank account reconciliations in the ordinary course of business. Due to the level of detailed records, copies of the bank account statements and reconciliations are available for inspection only upon request.

 

  d.

Notes to MOR-1d: This MOR lists the professional fees paid during this reporting period to Restructuring Professionals retained by the Debtors in these chapter 11 cases.

 

  e.

Notes to MOR-2 & MOR-3: The amounts currently classified as liabilities subject to compromise may be subject to future adjustments depending on Bankruptcy Court actions, payments pursuant to Bankruptcy Court orders, further developments with respect to, among other things, the reconciliation and adjudication of claims, determinations of the secured status of certain claims, the value of any collateral securing such claims, rejection of executory contracts, or other events.

 

  f.

Notes to MOR-4a: For status of post-petition tax payments, see disclosures as noted on MOR-4a. Due to the size and detail of such records, (i) copies of IRS Form 6123 or payment receipts; (ii) copies of tax returns filed during the reporting period; and (iii) a taxes aging schedule will be made available upon reasonable request in writing to bankruptcy counsel for the Debtors.

 

  g.

Notes to MOR-4b: The Debtors are current on post-petition payables, taking into consideration pending credits and adjustments and disputes that arise in the ordinary course of business.

 

  h.

Notes to MOR-6: During this reporting period, the 2016 Term Loan (as defined within Note 2 of the Q1 2016 10-Q) was rolled up into the Senior Debtor-in-Possession Credit Facility (as defined within Note 3 of the Q3 2018 10-Q) (which for purposes of this MOR is defined as the “Debtor-in-Possession ABL Facility”). The rollup of the 2016 Term Loan balance into the Debtor-in-Possession ABL Facility is presented on schedule MOR-6 within the “ADDITIONAL DRAWS” column, however, no draws took place during this reporting period.


UNITED STATES BANKRUPTCY COURT

SOUTHERN DISTRICT OF NEW YORK

 

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
Debtor    Reporting Period: 12/2/18 - 1/5/19
   Federal Tax I.D. No. 20-1920798

CORPORATE MONTHLY OPERATING REPORT

 

REQUIRED DOCUMENTS

   Form No.    Document
Attached
     Explanation Attached  

Schedule of Cash Receipts

   MOR-1a      X     

Schedule of Cash Disbursements

   MOR-1b & 1b (CON’T)      X     

Bank Reconciliation (or copies of debtor’s bank reconciliations)

   MOR-1c      X     

        Copies of bank statements

           Available Upon Request  

        Cash disbursements journals

           Available Upon Request  

Schedule of Retained Restructuring Professionals Fees

   MOR-1d      X     

Statement of Operations

   MOR-2      X     

Balance Sheet

   MOR-3      X     

Status of Post-petition Taxes

   MOR-4a      X     

        Copies of IRS Form 6123 or payment receipt

           Available Upon Request  

        Copies of tax returns filed during reporting period

           Available Upon Request  

Summary of Unpaid Post-petition Debts

   MOR-4b      X     

        Listing of Aged Accounts Payable

           Available Upon Request  

Accounts Receivable Reconciliation and Aging

   MOR-4c      X     

Payments to Insiders

   MOR-5      X     

Post Petition Status of Secured Notes

   MOR-6      X     

Debtor Questionnaire

   MOR-7      X     

I declare under penalty of perjury (28 U.S.C. Section 1746) that this report and the attached documents are true and correct to the best of my knowledge and belief.

 

/s/ Robert A. Riecker

  

1/25/19

Signature of Authorized Individual    Date

Robert A. Riecker

  

Member Office of the CEO and Chief Financial Officer

Printed Name of Authorized Individual    Title of Authorized Individual

 


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19
                        Federal Tax I.D. No. 20-1920798
NOTES TO MONTHLY OPERATING REPORT   
The Monthly Operating Report (“MOR”) includes activity for the following Debtors:

 

#

  

DEBTOR ENTITY NAME

   FILING DATE    BANKRUPTCY
CASE NUMBER
   COMPLETE EIN
OR OTHER TAXPAYER I.D.
1.   

SEARS, ROEBUCK AND CO.

   10/15/18    087-18-23537    36-1750680
2.   

SEARS HOLDINGS CORPORATION

   10/15/18    087-18-23538    20-1920798
3.   

KMART HOLDING CORPORATION

   10/15/18    087-18-23539    32-0073116
4.   

KMART OPERATIONS LLC

   10/15/18    087-18-23540    32-0456546
5.   

SEARS OPERATIONS LLC

   10/15/18    087-18-23541    35-2524331
6.   

SERVICELIVE, INC.

   10/15/18    087-18-23542    36-4616774
7.   

A&E FACTORY SERVICE, LLC

   10/15/18    087-18-23543    36-4486695
8.   

A&E HOME DELIVERY, LLC

   10/15/18    087-18-23544    37-1500205
9.   

A&E LAWN & GARDEN, LLC

   10/15/18    087-18-23545    13-4275028
10.   

A&E SIGNATURE SERVICE, LLC

   10/15/18    087-18-23546    37-1500204
11.   

FBA HOLDINGS INC.

   10/15/18    087-18-23547    36-4186537
12.   

INNOVEL SOLUTIONS, INC.

   10/15/18    087-18-23548    36-1857180
13.   

KMART CORPORATION

   10/15/18    087-18-23549    38-0729500
14.   

MAXSERV, INC.

   10/15/18    087-18-23550    74-2707626
15.   

PRIVATE BRANDS, LTD.

   10/15/18    087-18-23551    55-0544022
16.   

SEARS DEVELOPMENT CO.

   10/15/18    087-18-23552    36-2476028
17.   

SEARS HOLDINGS MANAGEMENT CORPORATION

   10/15/18    087-18-23553    20-3592148
18.   

SEARS HOME & BUSINESS FRANCHISES, INC.

   10/15/18    087-18-23554    98-0126742
19.   

SEARS HOME IMPROVEMENT PRODUCTS, INC.

   10/15/18    087-18-23555    25-1698591
20.   

SEARS INSURANCE SERVICES, L.L.C.

   10/15/18    087-18-23556    36-4287182
21.   

SEARS PROCUREMENT SERVICES, INC.

   10/15/18    087-18-23557    30-0092859
22.   

SEARS PROTECTION COMPANY

   10/15/18    087-18-23558    36-4471250
23.   

SEARS PROTECTION COMPANY (PR) INC.

   10/15/18    087-18-23559    66-0704861
24.   

SEARS ROEBUCK ACCEPTANCE CORP.

   10/15/18    087-18-23560    51-0080535
25.   

SEARS, ROEBUCK DE PUERTO RICO, INC.

   10/15/18    087-18-23561    66-0233626
26.   

SYW RELAY LLC

   10/15/18    087-18-23562    35-2561870
27.   

WALLY LABS LLC

   10/15/18    087-18-23563    None
28.   

BIG BEAVER OF FLORIDA DEVELOPMENT, LLC

   10/15/18    087-18-23564    None
29.   

CALIFORNIA BUILDER APPLIANCES, INC.

   10/15/18    087-18-23565    68-0406327
30.   

FLORIDA BUILDER APPLIANCES, INC.

   10/15/18    087-18-23566    36-3619133
31.   

KBL HOLDING INC.

   10/15/18    087-18-23567    26-0031295
32.   

KLC, INC.

   10/15/18    087-18-23568    75-2490839
33.   

SEARS PROTECTION COMPANY (FLORIDA), LLC

   10/15/18    087-18-23569    20-0224239
34.   

KMART OF WASHINGTON LLC

   10/15/18    087-18-23570    61-1448898
35.   

KMART STORES OF ILLINOIS LLC

   10/15/18    087-18-23571    61-1448897
36.   

KMART STORES OF TEXAS LLC

   10/15/18    087-18-23572    61-1448915
37.   

MYGOFER LLC

   10/15/18    087-18-23573    26-4005531
38.   

SEARS BRANDS BUSINESS UNIT CORPORATION

   10/15/18    087-18-23574    42-1564658
39.   

SEARS HOLDINGS PUBLISHING COMPANY, LLC

   10/15/18    087-18-23575    26-0075554
40.   

KMART OF MICHIGAN, INC.

   10/15/18    087-18-23576    38-3551696
41.   

SHC DESERT SPRINGS, LLC

   10/15/18    087-18-23577    None
42.   

SOE, INC.

   10/15/18    087-18-23578    83-0399616
43.   

STARWEST, LLC

   10/15/18    087-18-23579    37-1495379
44.   

STI MERCHANDISING, INC.

   10/15/18    087-18-23580    38-2760188
45.   

TROY COOLIDGE NO. 13, LLC

   10/15/18    087-18-23581    None
46.   

BLUELIGHT.COM, INC.

   10/15/18    087-18-23582    77-0527034
47.   

SEARS BRANDS, L.L.C.

   10/15/18    087-18-23583    42-1564664
48.   

SEARS BUYING SERVICES, INC.

   10/15/18    087-18-23584    36-3256533
49.   

KMART.COM LLC

   10/15/18    087-18-23585    77-0529022
50.   

SEARS BRANDS MANAGEMENT CORPORATION

   10/15/18    087-18-23586    36-2555365
51.   

SHC LICENSED BUSINESS LLC

   10/18/18    087-18-23616    37-1783718
52.   

SHC PROMOTIONS LLC

   10/22/18    087-18-23630    26-4209626


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19
MOR-1a    Federal Tax I.D. No. 20-1920798

(in US Dollars)

  

(Unaudited)

  

 

SCHEDULE OF RECEIPTS

 

#

  

DEBTOR ENTITY NAME

   BANKRUPTCY
CASE NUMBER
   NET CASH
RECEIPTS (a)
 
1.   

SEARS, ROEBUCK AND CO.

   087-18-23537    $ 674,667,156  
2.   

SEARS HOLDINGS CORPORATION

   087-18-23538      438,958  
3.   

KMART HOLDING CORPORATION

   087-18-23539      —    
4.   

KMART OPERATIONS LLC

   087-18-23540      —    
5.   

SEARS OPERATIONS LLC

   087-18-23541      —    
6.   

SERVICELIVE, INC.

   087-18-23542      164,649  
7.   

A&E FACTORY SERVICE, LLC

   087-18-23543      —    
8.   

A&E HOME DELIVERY, LLC

   087-18-23544      —    
9.   

A&E LAWN & GARDEN, LLC

   087-18-23545      —    
10.   

A&E SIGNATURE SERVICE, LLC

   087-18-23546      —    
11.   

FBA HOLDINGS INC.

   087-18-23547      —    
12.   

INNOVEL SOLUTIONS, INC.

   087-18-23548      8,821,013  
13.   

KMART CORPORATION

   087-18-23549      471,886,890  
14.   

MAXSERV, INC.

   087-18-23550      —    
15.   

PRIVATE BRANDS, LTD.

   087-18-23551      —    
16.   

SEARS DEVELOPMENT CO.

   087-18-23552      —    
17.   

SEARS HOLDINGS MANAGEMENT CORPORATION

   087-18-23553      54,830,108  
18.   

SEARS HOME & BUSINESS FRANCHISES, INC.

   087-18-23554      1,220,032  
19.   

SEARS HOME IMPROVEMENT PRODUCTS, INC

   087-18-23555      9,912,282  
20.   

SEARS INSURANCE SERVICES, L.L.C.

   087-18-23556      —    
21.   

SEARS PROCUREMENT SERVICES, INC.

   087-18-23557      —    
22.   

SEARS PROTECTION COMPANY

   087-18-23558      265,370  
23.   

SEARS PROTECTION COMPANY (PR) INC.

   087-18-23559      1,845  
24.   

SEARS ROEBUCK ACCEPTANCE CORP.

   087-18-23560      —    
25.   

SEARS, ROEBUCK DE PUERTO RICO, INC.

   087-18-23561      —    
26.   

SYW RELAY LLC

   087-18-23562      —    
27.   

WALLY LABS LLC

   087-18-23563      —    
28.   

BIG BEAVER OF FLORIDA DEVELOPMENT, LLC

   087-18-23564      —    
29.   

CALIFORNIA BUILDER APPLIANCES, INC.

   087-18-23565      5,055,022  
30.   

FLORIDA BUILDER APPLIANCES, INC.

   087-18-23566      6,713,645  
31.   

KBL HOLDING INC.

   087-18-23567      —    
32.   

KLC, INC.

   087-18-23568      —    
33.   

SEARS PROTECTION COMPANY (FLORIDA), LLC

   087-18-23569      —    
34.   

KMART OF WASHINGTON LLC

   087-18-23570      —    
35.   

KMART STORES OF ILLINOIS LLC

   087-18-23571      —    
36.   

KMART STORES OF TEXAS LLC

   087-18-23572      —    
37.   

MYGOFER LLC

   087-18-23573      —    
38.   

SEARS BRANDS BUSINESS UNIT CORP

   087-18-23574      463,299  
39.   

SEARS HOLDINGS PUBLISHING COMPANY, LLC

   087-18-23575      —    
40.   

KMART OF MICHIGAN, INC.

   087-18-23576      —    
41.   

SHC DESERT SPRINGS, LLC

   087-18-23577      —    
42.   

SOE, INC.

   087-18-23578      —    
43.   

STARWEST, LLC

   087-18-23579      2,943,399  
44.   

STI MERCHANDISING, INC.

   087-18-23580      —    
45.   

TROY COOLIDGE NO. 13, LLC

   087-18-23581      —    
46.   

BLUELIGHT.COM, INC.

   087-18-23582      —    
47.   

SEARS BRANDS, L.L.C.

   087-18-23583      —    
48.   

SEARS BUYING SERVICES, INC.

   087-18-23584      —    
49.   

KMART.COM LLC

   087-18-23585      —    
50.   

SEARS BRANDS MANAGEMENT CORPORATION

   087-18-23586      234,247  
51.   

SHC LICENSED BUSINESS LLC

   087-18-23616      —    
52.   

SHC PROMOTIONS LLC

   087-18-23630      —    
        

 

 

 
  

TOTAL

      $ 1,237,617,916  
        

 

 

 

Footnote(s):

 

(a)

The net cash receipts represent cash received by each Debtor assigned bank account.


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19
MOR-1b    Federal Tax I.D. No. 20-1920798

(in US Dollars)

  

(Unaudited)

  

 

SCHEDULE OF DISBURSEMENTS

 

#

  

DEBTOR ENTITY NAME

   BANKRUPTCY
CASE NUMBER
     NET CASH
DISBURSEMENTS
(a)
     PLUS: ESTATE
DISBURSEMENTS
MADE BY
OUTSIDE
SOURCES

(i.e. escrow accounts)
     TOTAL
DISBURSEMENTS
(FOR QUARTERLY
FEE PURPOSES)
    

F/N

1.   

SEARS, ROEBUCK AND CO.

     087-18-23537      $ 573,232,457      $ —        $ 573,232,457     
2.   

SEARS HOLDINGS CORPORATION

     087-18-23538        19,256        10,154,543        10,173,799      (b)
3.   

KMART HOLDING CORPORATION

     087-18-23539        —          —          —       
4.   

KMART OPERATIONS LLC

     087-18-23540        14,857,023        —          14,857,023     
5.   

SEARS OPERATIONS LLC

     087-18-23541        25,268,830        —          25,268,830     
6.   

SERVICELIVE, INC.

     087-18-23542        353,279        —          353,279     
7.   

A&E FACTORY SERVICE, LLC

     087-18-23543        1,341,108        —          1,341,108     
8.   

A&E HOME DELIVERY, LLC

     087-18-23544        321,049        —          321,049     
9.   

A&E LAWN & GARDEN, LLC

     087-18-23545        —          —          —       
10.   

A&E SIGNATURE SERVICE, LLC

     087-18-23546        —          —          —       
11.   

FBA HOLDINGS INC.

     087-18-23547        —          —          —       
12.   

INNOVEL SOLUTIONS, INC.

     087-18-23548        56,064,436        —          56,064,436     
13.   

KMART CORPORATION

     087-18-23549        412,699,428        —          412,699,428     
14.   

MAXSERV, INC.

     087-18-23550        3,343,757        —          3,343,757     
15.   

PRIVATE BRANDS, LTD.

     087-18-23551        —          —          —       
16.   

SEARS DEVELOPMENT CO.

     087-18-23552        —          —          —       
17.   

SEARS HOLDINGS MANAGEMENT CORPORATION

     087-18-23553        64,938,873        —          64,938,873     
18.   

SEARS HOME & BUSINESS FRANCHISES, INC.

     087-18-23554        381,650        —          381,650     
19.   

SEARS HOME IMPROVEMENT PRODUCTS, INC

     087-18-23555        13,864,462        —          13,864,462     
20.   

SEARS INSURANCE SERVICES, L.L.C.

     087-18-23556        372,917        —          372,917     
21.   

SEARS PROCUREMENT SERVICES, INC.

     087-18-23557        —          —          —       
22.   

SEARS PROTECTION COMPANY

     087-18-23558        204,472        —          204,472     
23.   

SEARS PROTECTION COMPANY (PR) INC.

     087-18-23559        —          —          —       
24.   

SEARS ROEBUCK ACCEPTANCE CORP.

     087-18-23560        13,227,376        —          13,227,376     
25.   

SEARS, ROEBUCK DE PUERTO RICO, INC.

     087-18-23561        6,906,644        —          6,906,644     
26.   

SYW RELAY LLC

     087-18-23562        —          —          —       
27.   

WALLY LABS LLC

     087-18-23563        —          —          —       
28.   

BIG BEAVER OF FLORIDA DEVELOPMENT, LLC

     087-18-23564        —          —          —       
29.   

CALIFORNIA BUILDER APPLIANCES, INC.

     087-18-23565        5,360,514        —          5,360,514     
30.   

FLORIDA BUILDER APPLIANCES, INC.

     087-18-23566        7,624,003        —          7,624,003     
31.   

KBL HOLDING INC.

     087-18-23567        —          —          —       
32.   

KLC, INC.

     087-18-23568        —          —          —       
33.   

SEARS PROTECTION COMPANY (FLORIDA), LLC

     087-18-23569        —          —          —       
34.   

KMART OF WASHINGTON LLC

     087-18-23570        453,665        —          453,665     
35.   

KMART STORES OF ILLINOIS LLC

     087-18-23571        2,270,678        —          2,270,678     
36.   

KMART STORES OF TEXAS LLC

     087-18-23572        330,624        —          330,624     
37.   

MYGOFER LLC

     087-18-23573        —          —          —       
38.   

SEARS BRANDS BUSINESS UNIT CORP

     087-18-23574        873,320        —          873,320     
39.   

SEARS HOLDINGS PUBLISHING COMPANY, LLC

     087-18-23575        —          —          —       
40.   

KMART OF MICHIGAN, INC.

     087-18-23576        4,457,746        —          4,457,746     
41.   

SHC DESERT SPRINGS, LLC

     087-18-23577        —          —          —       
42.   

SOE, INC.

     087-18-23578        —          —          —       
43.   

STARWEST, LLC

     087-18-23579        2,232,997        —          2,232,997     
44.   

STI MERCHANDISING, INC.

     087-18-23580        —          —          —       
45.   

TROY COOLIDGE NO. 13, LLC

     087-18-23581        —          —          —       
46.   

BLUELIGHT.COM, INC.

     087-18-23582        —          —          —       
47.   

SEARS BRANDS, L.L.C.

     087-18-23583        —          —          —       
48.   

SEARS BUYING SERVICES, INC.

     087-18-23584        —          —          —       
49.   

KMART.COM LLC

     087-18-23585        748,994        —          748,994     
50.   

SEARS BRANDS MANAGEMENT CORPORATION

     087-18-23586        2,769,779        —          2,769,779     
51.   

SHC LICENSED BUSINESS LLC

     087-18-23616        —          —          —       
52.   

SHC PROMOTIONS LLC

     087-18-23630        60,299        —          60,299     
        

 

 

    

 

 

    

 

 

    

 

  

TOTAL

      $  1,214,579,636      $  10,154,543      $  1,224,734,179     
        

 

 

    

 

 

    

 

 

    

 

Footnote(s):

 

(a)

The net cash disbursements represent cash disbursed by the Debtor entity excluding disbursements made on behalf of other Debtor entities, which are reflected on the accounts of the Debtors on whose behalf they are made.

(b)

Sears Holdings Corporation (087-18-23538) total disbursements of $10.1 million represents professional fee payments of $9.7 million and disbursement from the Escrow PBGC Account of approximately $0.4 million. The approximately $0.4 million distributed from the Escrow PBGC Account represents interest posted to the Escrow PBGC Account in December, the month after it was earned in November. The beginning and ending balance of the Escrow PBGC Account is $0.                


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19
MOR-1b (CON’T)    Federal Tax I.D. No. 20-1920798

(in US Dollars)

  

(Unaudited)

  

 

QTD SUMMARY OF DISBURSEMENTS BY DEBTOR

 

                 Q4’18  
          BANKRUPTCY      TOTAL
DISBURSEMENTS
(FOR QUARTERLY
FEE PURPOSES)
     TOTAL
DISBURSEMENTS
(FOR QUARTERLY
FEE PURPOSES)
     QTD TOTAL
DISBURSEMENTS
(FOR QUARTERLY FEE
PURPOSES)
     QTD TOTAL
DISBURSEMENTS
(FOR QUARTERLY
FEE PURPOSES)
 

#

  

DEBTOR ENTITY NAME

   CASE NUMBER      OCT. 15 - NOV. 3, 2018      NOV. 4 - DEC. 1, 2018      DEC. 2, 2018 - JAN. 5 2019      OCT. 15 - JAN. 5 2019  

1.

   SEARS, ROEBUCK AND CO.      087-18-23537      $  255,100,889      $ 990,732,960      $ 573,232,457      $  1,819,066,306  

2.

   SEARS HOLDINGS CORPORATION      087-18-23538        949,045        281,937,139        10,173,799        293,059,984  

3.

   KMART HOLDING CORPORATION      087-18-23539        —          —          —          —    

4.

   KMART OPERATIONS LLC      087-18-23540        4,804,392        14,894,658        14,857,023        34,556,073  

5.

   SEARS OPERATIONS LLC      087-18-23541        15,302,164        24,929,292        25,268,830        65,500,286  

6.

   SERVICELIVE, INC.      087-18-23542        152,786        331,616        353,279        837,681  

7.

   A&E FACTORY SERVICE, LLC      087-18-23543        800,784        1,165,534        1,341,108        3,307,426  

8.

   A&E HOME DELIVERY, LLC      087-18-23544        158,551        238,307        321,049        717,906  

9.

   A&E LAWN & GARDEN, LLC      087-18-23545        —          —          —          —    

10.

   A&E SIGNATURE SERVICE, LLC      087-18-23546        —          —          —          —    

11.

   FBA HOLDINGS INC.      087-18-23547        —          —          —          —    

12.

   INNOVEL SOLUTIONS, INC.      087-18-23548        19,307,550        56,471,269        56,064,436        131,843,255  

13.

   KMART CORPORATION      087-18-23549        74,762,024        152,004,060        412,699,428        639,465,512  

14.

   MAXSERV, INC.      087-18-23550        1,961,037        2,841,800        3,343,757        8,146,594  

15.

   PRIVATE BRANDS, LTD.      087-18-23551        —          —          —          —    

16.

   SEARS DEVELOPMENT CO.      087-18-23552        —          —          —          —    

17.

   SEARS HOLDINGS MANAGEMENT CORPORATION      087-18-23553        36,516,398        62,324,902        64,938,873        163,780,173  

18.

   SEARS HOME & BUSINESS FRANCHISES, INC.      087-18-23554        418,338        228,781        381,650        1,028,769  

19.

   SEARS HOME IMPROVEMENT PRODUCTS, INC      087-18-23555        11,508,091        18,338,609        13,864,462        43,711,162  

20.

   SEARS INSURANCE SERVICES, L.L.C.      087-18-23556        24,074        313,461        372,917        710,452  

21.

   SEARS PROCUREMENT SERVICES, INC.      087-18-23557        —          —          —          —    

22.

   SEARS PROTECTION COMPANY      087-18-23558        309,400        171,529        204,472        685,401  

23.

   SEARS PROTECTION COMPANY (PR) INC.      087-18-23559        —          —          —          —    

24.

   SEARS ROEBUCK ACCEPTANCE CORP.      087-18-23560        19,529        13,916,285        13,227,376        27,163,190  

25.

   SEARS, ROEBUCK DE PUERTO RICO, INC.      087-18-23561        3,823,797        6,096,820        6,906,644        16,827,261  

26.

   SYW RELAY LLC      087-18-23562        3,734        11,366        —          15,101  

27.

   WALLY LABS LLC      087-18-23563        —          —          —          —    

28.

   BIG BEAVER OF FLORIDA DEVELOPMENT, LLC      087-18-23564        —          —          —          —    

29.

   CALIFORNIA BUILDER APPLIANCES, INC.      087-18-23565        2,551,620        8,140,280        5,360,514        16,052,414  

30.

   FLORIDA BUILDER APPLIANCES, INC.      087-18-23566        4,330,290        9,251,316        7,624,003        21,205,609  

31.

   KBL HOLDING INC.      087-18-23567        —          —          —          —    

32.

   KLC, INC.      087-18-23568        —          —          —          —    

33.

   SEARS PROTECTION COMPANY (FLORIDA), LLC      087-18-23569        —          —          —          —    

34.

   KMART OF WASHINGTON LLC      087-18-23570        307,014        483,255        453,665        1,243,934  

35.

   KMART STORES OF ILLINOIS LLC      087-18-23571        1,148,561        2,435,468        2,270,678        5,854,707  

36.

   KMART STORES OF TEXAS LLC      087-18-23572        143,524        288,215        330,624        762,363  

37.

   MYGOFER LLC      087-18-23573        —          —          —          —    

38.

   SEARS BRANDS BUSINESS UNIT CORP      087-18-23574        507,742        24,131        873,320        1,405,193  

39.

   SEARS HOLDINGS PUBLISHING COMPANY, LLC      087-18-23575        —          —          —          —    

40.

   KMART OF MICHIGAN, INC.      087-18-23576        2,129,276        4,269,796        4,457,746        10,856,818  

41.

   SHC DESERT SPRINGS, LLC      087-18-23577        —          —          —          —    

42.

   SOE, INC.      087-18-23578        —          —          —          —    

43.

   STARWEST, LLC      087-18-23579        4,067,014        3,352,693        2,232,997        9,652,704  

44.

   STI MERCHANDISING, INC.      087-18-23580        —          —          —          —    

45.

   TROY COOLIDGE NO. 13, LLC      087-18-23581        —          —          —          —    

46.

   BLUELIGHT.COM, INC.      087-18-23582        —          —          —          —    

47.

   SEARS BRANDS, L.L.C.      087-18-23583        —          —          —          —    

48.

   SEARS BUYING SERVICES, INC.      087-18-23584        —          —          —          —    

49.

   KMART.COM LLC      087-18-23585        229,687        659,696        748,994        1,638,377  

50.

   SEARS BRANDS MANAGEMENT CORPORATION      087-18-23586        4,198,791        4,072,191        2,769,779        11,040,762  

51.

   SHC LICENSED BUSINESS LLC      087-18-23616        —          —          —          —    

52.

   SHC PROMOTIONS LLC      087-18-23630        45,116        56,813        60,299        162,229  
        

 

 

    

 

 

    

 

 

    

 

 

 
   Total       $ 445,581,218      $  1,659,982,242      $  1,224,734,179      $ 3,330,297,639  
        

 

 

    

 

 

    

 

 

    

 

 

 


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19
MOR-1c    Federal Tax I.D. No. 20-1920798

(in US Dollars)

  

(Unaudited)

  

 

BANK ACCOUNT INFORMATION

 

#

  

LEGAL ENTITY

   CASE
NUMBER
  

BANK

   LAST 4
DIGITS
ACCOUNT #
     BANK
BALANCE
    

F/N

1.   

California Builder Appliances, Inc.

   087-18-23565   

Bank of America, N.A.

     6850        —        (a)
2.   

Florida Builder Appliances, Inc.

   087-18-23566   

Bank of America, N.A.

     7770        —        (a)
3.   

Innovel Solutions, Inc.

   087-18-23548   

Bank of America, N.A.

     3618        —        (b)
4.   

Kmart Corporation

   087-18-23549   

Banco Popular

     0247        53,752      (c)
5.   

Kmart Corporation

   087-18-23549   

Banco Popular

     6180        815,586      (c)
6.   

Kmart Corporation

   087-18-23549   

BancorpSouth

     3945        139,331      (a)
7.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     0136        —        (b)
8.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     0508        —        (b)
9.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     0986        —        (b)
10.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     0994        —        (b)
11.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     1000        —        (b)
12.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     2102        253,022      (b)
13.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     3295        —        (b)
14.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     3531        —        (b)
15.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     3816        —        (b)
16.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     3896        —        (a)
17.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     3929        2,969,545      (a)
18.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     4404        —        (b)
19.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     5450        10,000,000      (a)
20.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     6005        —        (b)
21.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     6911        —        (b)
22.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7539        —        (a)
23.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7542        —        (a)
24.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7555        —        (a)
25.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7743        —        (a)
26.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7756        —        (a)
27.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7769        —        (b)
28.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7772        —        (b)
29.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7785        —        (a)
30.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7798        —        (b)
31.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7808        —        (b)
32.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7811        —        (b)
33.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7824        —        (a)
34.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7837        —        (a)
35.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     7970        —        (d)
36.   

Kmart Corporation

   087-18-23549   

Bank of America, N.A.

     8978        4,509,459      (a)
37.   

Kmart Corporation

   087-18-23549   

Bank Of Oklahoma

     5769        8,983      (b)
38.   

Kmart Corporation

   087-18-23549   

BB&T Bank

     8654        82,540      (b)
39.   

Kmart Corporation

   087-18-23549   

Capital One Bank

     9632        179,258      (a)
40.   

Kmart Corporation

   087-18-23549   

Cherokee State Bank

     0494        59,599      (a)
41.   

Kmart Corporation

   087-18-23549   

Citizens Bank

     7910        851,942      (a)
42.   

Kmart Corporation

   087-18-23549   

First and Farmers Bank

     0543        111,408      (a)
43.   

Kmart Corporation

   087-18-23549   

First Bank and Trust Company

     9130        4,000      (e)
44.   

Kmart Corporation

   087-18-23549   

First Hawaiian Bank

     0940        734,127      (a)
45.   

Kmart Corporation

   087-18-23549   

First Interstate Bank of Billings NA

     2277        16,714      (f)
46.   

Kmart Corporation

   087-18-23549   

First Interstate Bank of Riverton

     1274        2,611      (c)
47.   

Kmart Corporation

   087-18-23549   

First National Bank

     0001        19,008      (a)
48.   

Kmart Corporation

   087-18-23549   

Fidelity Bank

     2180        3,825      (a)
49.   

Kmart Corporation

   087-18-23549   

First National Bank of Grayson

     4081        397,298      (a)
50.   

Kmart Corporation

   087-18-23549   

First Security

     9005        86,380      (a)
51.   

Kmart Corporation

   087-18-23549   

First Security

     7014        43,864      (a)
52.   

Kmart Corporation

   087-18-23549   

First State Bank

     6705        4,000      (a)


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19
MOR-1c    Federal Tax I.D. No. 20-1920798

(in US Dollars)

  

(Unaudited)

  

 

BANK ACCOUNT INFORMATION

 

#

  

LEGAL ENTITY

   CASE
NUMBER
  

BANK

   LAST 4
DIGITS
ACCOUNT #
     BANK
BALANCE
    

F/N

53.   

Kmart Corporation

   087-18-23549   

First Tennessee

     0555        45,100      (b)
54.   

Kmart Corporation

   087-18-23549   

Hilltop National Bank

     4003        4,000      (a)
55.   

Kmart Corporation

   087-18-23549   

Iowa State Bank

     4408        3,985      (a)
56.   

Kmart Corporation

   087-18-23549   

M&T Bank

     2880        6,178      (b)
57.   

Kmart Corporation

   087-18-23549   

NBT Bank

     0573        140,769      (a)
58.   

Kmart Corporation

   087-18-23549   

NorState Federal Credit Union

     6752        75,424      (a)
59.   

Kmart Corporation

   087-18-23549   

Old National Bank

     5501        46,675      (a)
60.   

Kmart Corporation

   087-18-23549   

PNC Bank

     0169        180,714      (b)
61.   

Kmart Corporation

   087-18-23549   

PNC Bank

     3334        —        (b)
62.   

Kmart Corporation

   087-18-23549   

PNC Bank

     9553        —        (b)
63.   

Kmart Corporation

   087-18-23549   

Union Bank

     1583        587,440      (g)
64.   

Kmart Corporation

   087-18-23549   

United Missouri Bank

     0553        60,475      (b)
65.   

Kmart Corporation

   087-18-23549   

United Missouri Bank

     3100        5,000      (b)
66.   

Kmart Corporation

   087-18-23549   

United Missouri Bank

     4642        10,000      (b)
67.   

Kmart Corporation

   087-18-23549   

Wells Fargo

     0318        1,154,917      (b)
68.   

Kmart Corporation

   087-18-23549   

Zions National Bank

     6778        6,889      (a)
69.   

Sears Holdings Corporation

   087-18-23538   

Bank of America, N.A.

     4266        —        (b)
70.   

Sears Holdings Corporation

   087-18-23538   

Bank of America, N.A.

     6719        —        (b)
71.   

Sears Holdings Management Corporation

   087-18-23553   

Bank of America, N.A.

     5426        —        (a)
72.   

Sears Holdings Management Corporation

   087-18-23553   

Bank of America, N.A.

     6338        —        (a)
73.   

Sears Holdings Management Corporation

   087-18-23553   

Bank of America, N.A.

     6722        —        (b)
74.   

Sears Holdings Management Corporation

   087-18-23553   

KeyBank

     1056        6,719      (a)
75.   

Sears Holdings Management Corporation

   087-18-23553   

US Bank

     8942        231      (h)
76.   

Sears Protection Company

   087-18-23558   

Bank of America, N.A.

     4583        19,133      (b)
77.   

Sears Protection Company (Florida), LLC

   087-18-23569   

Bank of America, N.A.

     4596        7,939      (b)
78.   

Sears Protection Company (PR), Inc.

   087-18-23559   

Banco Popular

     5678        24,290      (i)
79.   

Sears Protection Company (PR), Inc.

   087-18-23561   

Banco Popular

     1580        —        (i)
80.   

Sears Protection Company (PR), Inc.

   087-18-23561   

Banco Popular

     7665        601,693      (i)
81.   

Sears Roebuck Acceptance Corp.

   087-18-23560   

Bank of America, N.A.

     0955        —        (a)
82.   

Sears Roebuck Acceptance Corp.

   087-18-23560   

Bank of America, N.A.

     6815        —        (a)
83.   

Sears Roebuck Acceptance Corp.

   087-18-23560   

Bank of America, N.A.

     9512        59,277      (a)
84.   

Sears, Roebuck and Co.

   087-18-23555   

Bank of America, N.A.

     0978        —        (b)
85.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     0149        —        (b)
86.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     0556        —        (a)
87.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     0895        —        (b)
88.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     0903        —        (b)
89.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     0911        —        (b)
90.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     0929        —        (b)
91.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     0945        —        (b)
92.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     0952        —        (b)
93.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     1451        —        (b)
94.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     1595        2,558,006      (b)
95.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     3107        —        (a)
96.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     3266        —        (b)
97.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     4120        —        (b)
98.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     4205        —        (b)
99.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     4394        —        (a)
100.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     5261        189,694      (b)
101.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     5468        —        (b)
102.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     5885        —        (b)
103.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     6570        73,087,824      (a)
104.   

Sears, Roebuck and Co.

   087-18-23537   

Bank of America, N.A.

     6654        2,137      (a)


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19

MOR-1c

   Federal Tax I.D. No. 20-1920798

(in US Dollars)

  

(Unaudited)

  

 

BANK ACCOUNT INFORMATION

 

                      LAST 4              
          CASE           DIGITS      BANK       

#

  

LEGAL ENTITY

   NUMBER     

BANK

   ACCOUNT #      BALANCE     

F/N

105.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     6667        —        (a)
106.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     7607        —        (a)
107.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     7776        —        (b)
108.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     7802        —        (b)
109.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     7828        —        (a)
110.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     7831        —        (a)
111.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     7844        —        (a)
112.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     7857        (79    (a)
113.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     7969        —        (a)
114.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     7972        —        (a)
115.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8279        —        (j)
116.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8855        —        (a)
117.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8868        —        (a)
118.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8871        —        (a)
119.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8884        —        (a)
120.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8960        —        (a)
121.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8965        81,056,251      (a)
122.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8973        —        (a)
123.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8981        339,577      (b)
124.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8986        —        (a)
125.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     8994        —        (a)
126.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     9415        1,847      (a)
127.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     9457        594,006      (a)
128.   

Sears, Roebuck and Co.

     087-18-23537     

Bank of America, N.A.

     9939        —        (b)
129.   

Sears, Roebuck and Co.

     087-18-23537     

Bank Of Oklahoma

     1048        77,836      (b)
130.   

Sears, Roebuck and Co.

     087-18-23537     

Capital One Bank

     4557        —        (k)
131.   

Sears, Roebuck and Co.

     087-18-23537     

Capital One Bank

     9999        27,596      (a)
132.   

Sears, Roebuck and Co.

     087-18-23537     

Citizens Bank

     3397        286,198      (b)
133.   

Sears, Roebuck and Co.

     087-18-23537     

First Hawaiian Bank

     8911        220,121      (a)
134.   

Sears, Roebuck and Co.

     087-18-23537     

First Tennessee

     0003        23,432      (b)
135.   

Sears, Roebuck and Co.

     087-18-23537     

KeyBank

     4236        104,819      (a)
136.   

Sears, Roebuck and Co.

     087-18-23537     

PNC Bank

     2515        136,467      (b)
137.   

Sears, Roebuck and Co.

     087-18-23537     

PNC Bank

     3342        —        (b)
138.   

Sears, Roebuck and Co.

     087-18-23537     

PNC Bank

     3424        —        (b)
139.   

Sears, Roebuck and Co.

     087-18-23537     

Regions Bank

     5433        72,329      (b)
140.   

Sears, Roebuck and Co.

     087-18-23537     

Union Bank

     4871        885,186      (b)
141.   

Sears, Roebuck and Co.

     087-18-23537     

Wells Fargo

     2397        659,626      (b)
142.   

StarWest, LLC

     087-18-23579     

Bank of America, N.A.

     9396        —        (a)


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19

MOR-1c

   Federal Tax I.D. No. 20-1920798

(in US Dollars)

  

(Unaudited)

  

 

Footnote(s):

 

(a)

The bank statement(s) are for the period from 12/1/18 through 12/31/18.

(b)

The bank statement(s) are for the period from 12/1/18 through 1/4/19.

(c)

The bank statement(s) are for the period from 11/24/18 through 12/28/18.

(d)

Kmart Corporation (087-18-23549) Bank of America, N.A. account ending in x7970 had no activity in over a year and a balance of zero dollars as of 1/5/19.

(e)

The bank statement(s) are for the period from 11/30/18 through 12/31/18.

(f)

The bank statement(s) are for the period from 11/24/18 through 1/5/19.

(g)

The bank statement(s) is as of 1/4/19.

(h)

The bank statement(s) are for the period from 12/3/18 through 12/31/18.

(i)

The bank statement(s) are for the period from 12/1/18 through 1/11/19.

(j)

Sears, Roebuck and Co. (087-18-23537) Bank of America, N.A. account ending in x8279 is a new account opened December 2018.

(k)

The bank statement(s) are for the period from 11/26/18 through 12/28/18.


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19

MOR-1d

   Federal Tax I.D. No. 20-1920798

(in US Dollars)

  

(Unaudited)

  

 

SCHEDULE OF RETAINED RESTRUCTURING PROFESSIONAL FEE DISBURSEMENTS & US TRUSTEE FEES

 

PROFESSIONAL

   AMOUNT PAID
DURING THE
REPORTING PERIOD
     CUMULATIVE (a)  

Estate Professionals

     

Weil, Gotshal & Manges LLP

   $ 4,146,941      $ 4,146,941  

M-III Advisory Partners LP

     2,303,739        2,303,739  

Lazard Freres & Co. LLC

     164,335        1,644,335  

Prime Clerk

     1,456,728        1,971,728  

A&G Realty Partners LLC

     100,000        100,000  

Total Estate Professionals

     8,171,743        10,166,743  

Restructuring Committee Professionals

     

Paul Weiss Rifkind Wharton & Garrison LLP

     1,040,460        1,040,460  

Young Conaway Stargatt & Taylor, LLP

     23,036        23,036  

Alvarez & Marsal North America, LLC

     500,000        500,000  

Total Restructuring Committee Professionals

     1,563,495        1,563,495  

Total Retained Professionals

     9,735,238        11,730,238  

US Trustee Quarterly Fees

     —          —    
  

 

 

    

 

 

 

Total Professional and US Trustee Fees

   $ 9,735,238      $ 11,730,238  
  

 

 

    

 

 

 

Footnotes(s):

 

(a)

Represents payments made since the Commencement Date.


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19
MOR-2    Federal Tax I.D. No. 20-1920798
(Unaudited)   
  

 

STATEMENT OF OPERATIONS

Condensed & Consolidated Income Statement (a)

 

     Month Ended
January 5, 2019
 
     (in millions)  

REVENUES

  

Merchandise sales and services

   $ 960  

Services and other

     151  
  

 

 

 

Total revenues

     1,111  

COSTS AND EXPENSES

  

Cost of sales, buying and occupancy - merchandise sales

     848  

Cost of sales and occupancy - services and other

     103  
  

 

 

 

Total cost of sales, buying and occupancy

     951  

Selling and administrative

     212  

Depreciation and amortization

     30  

Impairment charges

     —    

Gain on sales of assets

     (129
  

 

 

 

Total costs and expenses

     1,064  
  

 

 

 

Operating income (loss)

     47  

Reorganization, net

     (205

Interest expense

     (33

Interest and investment income (loss)

     5  

Other loss

     (8
  

 

 

 

Income (loss) before income taxes

     (194

Income tax (expense) benefit

     1  
  

 

 

 

NET LOSS

   $  (193
  

 

 

 

Footnote(s):

 

(a)

Numbers may not foot due to rounding


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 12/2/18 - 1/5/19
MOR-3    Federal Tax I.D. No. 20-1920798
(Unaudited)   
  

 

BALANCE SHEET

Condensed & Consolidated Balance Sheet (a)

 

     As of  
     January 5, 2019  
     (in millions)  

ASSETS

  

Current assets

  

Cash and Cash Equivalents

   $ 167  

Restricted Cash

     174  

Accounts Receivable

     382  

Merchandise Inventories

     1,685  

Prepaid Expenses and Other Current Assets

     411  
  

 

 

 

Total Current Assets

     2,819  

Property and Equipment (net of accumulated depreciation and amortization)

     984  

Goodwill and Intangible Assets

     696  

Other Assets

     379  

Investment in Subsidiaries

     26,545  
  

 

 

 

TOTAL ASSETS

   $  31,423  
  

 

 

 

LIABILITIES

  

Current Liabilities

  

Short-Term Borrowings

     584  

Current Portion of Long-Term Debt and Capitalized Lease Obligations

     385  

Debtor-in-Possession Credit Facility

     592 (b) 

Merchandise Payables

     218  

Intercompany Payables

     27,120  

Other Current Liabilities

     1,367  
  

 

 

 

Total Current Liabilities

     30,266  

Long-term Debt and Capitalized Lease Obligations

     2,279  

Pension and Postretirement Benefits

     134  

Deferred Gain on Sale-Leaseback

     232  

Sale-Leaseback Financing Obligation

     371  

Unearned Revenues

     544  

Other Long-term Liabilities

     401  
  

 

 

 

Total Liabilities Not Subject to Compromise

     34,227  

Liabilities Subject to Compromise

     4,445  

Commitments and Contingencies

     —    

DEFICIT

     —    

Total Deficit

     (7,249
  

 

 

 

TOTAL LIABILITIES AND DEFICIT

   $ 31,423  
  

 

 

 

Footnote(s):

 

(a)

Numbers may not foot due to rounding

(b)

Debtor-in-Possession ABL Facility of $592 million is net of the $6 million discount and includes the roll-up of the 2016 Term Loan, as defined within Note 2 of the Q1 2016 10-Q.


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
Debtor    Reporting Period: 12/2/18 - 1/5/19
MOR-4a, 4b, 4c    Federal Tax I.D. No. 20-1920798
(in US Dollars)   
  

 

MOR-4a: STATUS OF POST-PETITION TAXES

Subject: December Monthly Operating Report Attestation Regarding Post-petition Taxes

The Debtor, Sears Holdings Corporation., et al., hereby submit this attestation regarding post-petition taxes.

All post-petition taxes for the Debtors, which are not subject to dispute or reconciliation, are current. There are no material tax disputes or reconciliations.                

 

/s/ Robert A. Riecker

Robert A. Riecker

Member Office of the CEO and Chief Financial Officer

Sears Holdings Corporation., et. al.

MOR-4b: SUMMARY OF UNPAID POST-PETITION VENDOR PAYABLES

 

            NUMBER OF DAYS PAST DUE         

DESCRIPTION

   CURRENT      1-30 DAYS      31-60 DAYS      61-90 DAYS      91+ DAYS      TOTAL  

Combined

   $  217,853,263      $  —        $  —        $  —        $  —        $  217,853,263  

MOR-4c: ACCOUNTS RECEIVABLE AGING

 

DESCRIPTION

   CURRENT      1-30 DAYS      31-60 DAYS      61-90 DAYS      91+ DAYS      TOTAL  

Accounts Receivable, Net

   $ 315,524,225      $ 43,435,952      $ 10,604,400      $ 7,278,426      $ 5,296,821      $ 382,139,823  


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
Debtor    Reporting Period: 12/2/18 - 1/5/19

MOR-5

   Federal Tax I.D. No. 20-1920798

(in US Dollars)

  
  

 

PAYMENTS TO INSIDERS (a)

 

INSIDER PAYMENT SUMMARY (FOR THIS PERIOD ONLY)

 

DESCRIPTION

   AMOUNT  

Regular Earnings, Subject to Withholding & Gross Up; Cash Reimbursement Non-Tax; Cell Phone Reimbursement; Commuter Imputed Tax Income; Imputed Income; Imputed Tax Income; Commuter Pay; Expense Reimbursement; Restructuring Committee Retainer; Travel Reimbursement; Credit to the Company for a Duplicative Relocation Payment, Sears Holdings Corporation Board Annual Retainer

   $ 1,449,664  

Footnote(s):

 

(a)

The payments to insiders includes payments by the Debtors to individuals who were directors of the Board of Sears Holdings Corporation, employees who have been included in the Debtors’ Key Employee Incentive Plan, and the Debtors’ Chief Restructuring Officer during the reporting period.

Persons included as “insiders” have been included for informational purposes only. The Debtors do not concede or take any position with respect to: (i) such person’s influence over the control of the Debtors; (ii) the management responsibilities or functions of such individual; (iii) the decision-making or corporate authority of such individual; or (iv) whether such individual could successfully argue that he or she is not an “insider” under applicable law, including, without limitation, the federal securities laws or with respect to any theories of liability or for any other purpose. Further, the inclusion of a party as an “insider” is not an acknowledgement or concession that such party is an “insider” under applicable bankruptcy law.


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)

Debtor

MOR-6

  

Reporting Period: 12/2/18 - 1/5/19

Federal Tax I.D. No. 20-1920798

(in US Dollars)   
  
  

 

DIP FINANCING (TERM LOAN & ABL) - PERIOD TO DATE

 

DESCRIPTION

   BEGINNING
BALANCE
     ADDITIONAL
DRAWS
     PAYDOWNS     ENDING
BALANCE
 

Debtor-in-Possession ABL Facility (including the rollup of pre-petition ABL revolving and term loans and L/Cs) Note: shows draws and paydowns of DIP term loans only; the revolving advances are repaid with daily cash sweep, except for revolving advances repaid on the Effective Date (a)

   $ 111,889,241      $ 570,776,250      ($ 159,394,479   $ 523,271,012  

Footnote(s)

 

(a)

As of 1/5/19, the Debtor-in-Possession ABL Facility carrying value totaled $515,208,340, net of discount $6,379,264 and debt issuance costs of $1,683,408.


In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)

Debtor

   Reporting Period: 12/2/18 - 1/5/19
                        Federal Tax I.D. No. 20-1920798
  
  

 

MOR 7: DEBTOR QUESTIONNAIRE

 

Must be completed each month. If the answer to any of the questions is
“Yes”, provide a detailed explanation of each item. Attach additional
sheets if necessary.

   Yes      No     

Comments

1.

   Have any assets been sold or transferred outside the normal course of business this reporting period?         X     

2.

   Have any funds been disbursed from any account other than a debtor in possession account this reporting period?         X     

3.

   Is the Debtor delinquent in the timely filing of any post-petition tax returns?         X     

4.

   Are workers compensation, general liability or other necessary insurance coverages expired or cancelled, or has the debtor received notice of expiration or cancellation of such policies?         X     

5.

   Is the Debtor delinquent in paying any insurance premium payment?         X     

6.

   Have any payments been made on pre-petition liabilities this reporting period?      X         As allowed under the First Day Orders

7.

   Are any post petition receivables (accounts, notes or loans) due from related parties?      X         Sears Hometown and Outlet Stores owes Sears, Roebuck & Co. for the monthly intercompany settlement related to service contract sales, inventory and other support functions provided by the debtor.

8.

   Are any post petition payroll taxes past due?         X     

9.

   Are any post petition State or Federal income taxes past due?         X     

10.

   Are any post petition real estate taxes past due?         X     

11.

   Are any other post petition taxes past due?         X     

12.

   Have any pre-petition taxes been paid during this reporting period?      X         (a)

13.

   Are any amounts owed to post petition creditors delinquent?         X     

14.

   Are any wage payments past due?         X     

15.

   Have any post petition loans been received by the Debtor from any party?         X     

16.

   Is the Debtor delinquent in paying any U.S. Trustee fees?         X     

17.

   Is the Debtor delinquent with any court ordered payments to attorneys or other professionals?         X     

18.

   Have the owners or shareholders received any compensation outside of the normal course of business?         X     

Footnote(s):

 

(a)

The following pre-petition taxes were paid during the period: (i) federal excise taxes relating to Q2 2018 for which the wire payment was submitted and not received by the IRS; the wire payment was resubmitted during the current period; (ii) state income taxes for franchise businesses; (iii) franchise taxes; (iv) the State of Connecticut sales and use tax payment for which a check was sent during the normal filing period in November and was not received by the State; a check was reissued in during the current period.