It's the end of an era for Sears. The struggling retailer is selling its iconic Craftsman brand to tool maker Stanley Black & Decker.
LINKBut for those of you who still shop at Sears and love the Craftsman brand, fear not. Sears will continue to sell Craftsman tools in its stores.
Sears will get $525 million from Stanley Black & Decker (SWK) once the deal closes, another $250 million at the end of the third year and a percentage of annual payments of new Craftsman sales for the next 15 years.
That brings the total value of the deal to about $900 million.
In a statement Thursday, Stanley Black & Decker CEO James Loree said his company will increase the availability of Craftsman products through other retailers (brick and mortar and online) as well as through industrial partners.
He added Stanley Black & Decker will expand its manufacturing presence in the U.S. as a result of the deal as well and that would lead to an unspecified amount of new jobs in America too. (That's sure to be music to the ears of President-elect Trump.)
Investors liked the news too. Stanley Black & Decker shares rose more than 2% Thursday.
Sears #1 seller has always been 'credit' and the Craftsman tool line coming in as #2.
Sorry to see this happen. My dad gave me and my other 2 brothers each a Craftsman tool set when we were preteens. I still have mine and use it consistently.
The only constant is change.....