EX-99.1 2 d679707dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

 

In re: Sears Holdings Corporation, et al.   
Debtors    Case No. 18-23538 (RDD)
   Reporting Period: October 15 – November 3, 2018
   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). 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: October 15 - November 3, 2018
   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. 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.

This is the first filing of the MOR since the Petition 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: October 15 - November 3, 2018
   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.

 

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.

In re: Sears Holdings Corporation, et al.    Case No. 18-23538 (RDD)
Debtors    Reporting Period: October 15 - November 3, 2018
   Federal Tax I.D. # 20-1920798

 

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.

UNITED STATES BANKRUPTCY COURT

SOUTHERN DISTRICT OF NEW YORK

 

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
Debtor    Reporting Period: 10/15/18 - 11/3/18
   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

   

12/28/18

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: 10/15/18 - 11/3/18
   Federal Tax I.D. No. 20-1920798

 

NOTES TO MONTHLY OPERATING REPORT

The Monthly Operating Report (“MOR”) includes activity for the following Debtors:

 

               BANKRUPTCY    COMPLETE EIN

#

   

DEBTOR ENTITY NAME

    FILING DATE    CASE NUMBER    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: 10/15/18 - 11/3/18
MOR-1a    Federal Tax I.D. No. 20-1920798
(in US Dollars)   
(Unaudited)   

 

SCHEDULE OF RECEIPTS

 

          BANKRUPTCY      NET CASH  

#

   

DEBTOR ENTITY NAME

    CASE NUMBER      RECEIPTS (a)  
1.    SEARS, ROEBUCK AND CO.      087-18-23537      $ 347,494,210  
2.    SEARS HOLDINGS CORPORATION      087-18-23538        500,547  
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        85,312  
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        3,248,302  
13.    KMART CORPORATION      087-18-23549        206,535,645  
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        29,227,085  
18.    SEARS HOME & BUSINESS FRANCHISES, INC.      087-18-23554        908,974  
19.    SEARS HOME IMPROVEMENT PRODUCTS, INC      087-18-23555        6,856,685  
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        4,465,543  
23.    SEARS PROTECTION COMPANY (PR) INC.      087-18-23559        225,281  
24.    SEARS ROEBUCK ACCEPTANCE CORP.      087-18-23560        111,889,241  
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        5,214,586  
30.    FLORIDA BUILDER APPLIANCES, INC.      087-18-23566        6,761,627  
31.    KBL HOLDING INC.      087-18-23567        —    
32.    KLC, INC.      087-18-23568        —    
33.    SEARS PROTECTION COMPANY (FLORIDA), LLC      087-18-23569        262,939  
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        —    
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        2,719,359  
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        3,656,933  
51.    SHC LICENSED BUSINESS LLC      087-18-23616        —    
52.    SHC PROMOTIONS LLC      087-18-23630        —    
        

 

 

  
   TOTAL       $ 730,052,269  
        

 

 

  

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: 10/15/18 - 11/3/18
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)		  
1.   

SEARS, ROEBUCK AND CO.

      087-18-23537      $  255,100,889      $ —        $  255,100,889  
2.   

SEARS HOLDINGS CORPORATION

      087-18-23538        949,045        —          949,045  
3.   

KMART HOLDING CORPORATION

      087-18-23539        —          —          —    
4.   

KMART OPERATIONS LLC

      087-18-23540        4,804,392        —          4,804,392  
5.   

SEARS OPERATIONS LLC

      087-18-23541        15,302,164        —          15,302,164  
6.   

SERVICELIVE, INC.

      087-18-23542        152,786        —          152,786  
7.   

A&E FACTORY SERVICE, LLC

      087-18-23543        800,784        —          800,784  
8.   

A&E HOME DELIVERY, LLC

      087-18-23544        158,551        —          158,551  
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        —          19,307,550  
13.   

KMART CORPORATION

      087-18-23549        74,762,024        —          74,762,024  
14.   

MAXSERV, INC.

      087-18-23550        1,961,037        —          1,961,037  
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        —          36,516,398  
18.   

SEARS HOME & BUSINESS FRANCHISES, INC.

      087-18-23554        418,338        —          418,338  
19.   

SEARS HOME IMPROVEMENT PRODUCTS, INC

      087-18-23555        11,508,091        —          11,508,091  
20.   

SEARS INSURANCE SERVICES, L.L.C.

      087-18-23556        24,074        —          24,074  
21.   

SEARS PROCUREMENT SERVICES, INC.

      087-18-23557        —          —          —    
22.   

SEARS PROTECTION COMPANY

      087-18-23558        309,400        —          309,400  
23.   

SEARS PROTECTION COMPANY (PR) INC.

      087-18-23559        —          —          —    
24.   

SEARS ROEBUCK ACCEPTANCE CORP.

      087-18-23560        19,529        —          19,529  
25.   

SEARS, ROEBUCK DE PUERTO RICO, INC.

      087-18-23561        3,823,797        —          3,823,797  
26.   

SYW RELAY LLC

      087-18-23562        3,734        —          3,734  
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        —          2,551,620  
30.   

FLORIDA BUILDER APPLIANCES, INC.

      087-18-23566        4,330,290        —          4,330,290  
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        —          307,014  
35.   

KMART STORES OF ILLINOIS LLC

      087-18-23571        1,148,561        —          1,148,561  
36.   

KMART STORES OF TEXAS LLC

      087-18-23572        143,524        —          143,524  
37.   

MYGOFER LLC

      087-18-23573        —          —          —    
38.   

SEARS BRANDS BUSINESS UNIT CORP

      087-18-23574        507,742        —          507,742  
39.   

SEARS HOLDINGS PUBLISHING COMPANY, LLC

      087-18-23575        —          —          —    
40.   

KMART OF MICHIGAN, INC.

      087-18-23576        2,129,276        —          2,129,276  
41.   

SHC DESERT SPRINGS, LLC

      087-18-23577        —          —          —    
42.   

SOE, INC.

      087-18-23578        —          —          —    
43.   

STARWEST, LLC

      087-18-23579        4,067,014        —          4,067,014  
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        —          229,687  
50.   

SEARS BRANDS MANAGEMENT CORPORATION

      087-18-23586        4,198,791        —          4,198,791  
51.   

SHC LICENSED BUSINESS LLC

      087-18-23616        —          —          —    
52.   

SHC PROMOTIONS LLC

      087-18-23630        45,116        —          45,116  
        

 

 

     

 

 

     

 

 

  
  

TOTAL

       $ 445,581,218      $  —        $ 445,581,218  
        

 

 

     

 

 

     

 

 

  

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.

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 10/15/18 - 11/3/18
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)		      QTD TOTAL
DISBURSEMENTS
(FOR QUARTERLY
FEE PURPOSES)		  

#

   

DEBTOR ENTITY NAME

    CASE NUMBER      OCT. 15 - NOV. 3, 2018      OCT. 15 - NOV. 3, 2018  
1.   

SEARS, ROEBUCK AND CO.

      087-18-23537      $  255,100,889      $  255,100,889  
2.   

SEARS HOLDINGS CORPORATION

      087-18-23538        949,045        949,045  
3.   

KMART HOLDING CORPORATION

      087-18-23539        —          —    
4.   

KMART OPERATIONS LLC

      087-18-23540        4,804,392        4,804,392  
5.   

SEARS OPERATIONS LLC

      087-18-23541        15,302,164        15,302,164  
6.   

SERVICELIVE, INC.

      087-18-23542        152,786        152,786  
7.   

A&E FACTORY SERVICE, LLC

      087-18-23543        800,784        800,784  
8.   

A&E HOME DELIVERY, LLC

      087-18-23544        158,551        158,551  
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        19,307,550  
13.   

KMART CORPORATION

      087-18-23549        74,762,024        74,762,024  
14.   

MAXSERV, INC.

      087-18-23550        1,961,037        1,961,037  
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        36,516,398  
18.   

SEARS HOME & BUSINESS FRANCHISES, INC.

      087-18-23554        418,338        418,338  
19.   

SEARS HOME IMPROVEMENT PRODUCTS, INC

      087-18-23555        11,508,091        11,508,091  
20.   

SEARS INSURANCE SERVICES, L.L.C.

      087-18-23556        24,074        24,074  
21.   

SEARS PROCUREMENT SERVICES, INC.

      087-18-23557        —          —    
22.   

SEARS PROTECTION COMPANY

      087-18-23558        309,400        309,400  
23.   

SEARS PROTECTION COMPANY (PR) INC.

      087-18-23559        —          —    
24.   

SEARS ROEBUCK ACCEPTANCE CORP.

      087-18-23560        19,529        19,529  
25.   

SEARS, ROEBUCK DE PUERTO RICO, INC.

      087-18-23561        3,823,797        3,823,797  
26.   

SYW RELAY LLC

      087-18-23562        3,734        3,734  
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        2,551,620  
30.   

FLORIDA BUILDER APPLIANCES, INC.

      087-18-23566        4,330,290        4,330,290  
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        307,014  
35.   

KMART STORES OF ILLINOIS LLC

      087-18-23571        1,148,561        1,148,561  
36.   

KMART STORES OF TEXAS LLC

      087-18-23572        143,524        143,524  
37.   

MYGOFER LLC

      087-18-23573        —          —    
38.   

SEARS BRANDS BUSINESS UNIT CORP

      087-18-23574        507,742        507,742  
39.   

SEARS HOLDINGS PUBLISHING COMPANY, LLC

      087-18-23575        —          —    
40.   

KMART OF MICHIGAN, INC.

      087-18-23576        2,129,276        2,129,276  
41.   

SHC DESERT SPRINGS, LLC

      087-18-23577        —          —    
42.   

SOE, INC.

      087-18-23578        —          —    
43.   

STARWEST, LLC

      087-18-23579        4,067,014        4,067,014  
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        229,687  
50.   

SEARS BRANDS MANAGEMENT CORPORATION

      087-18-23586        4,198,791        4,198,791  
51.   

SHC LICENSED BUSINESS LLC

      087-18-23616        —          —    
52.   

SHC PROMOTIONS LLC

      087-18-23630        45,116        45,116  
        

 

 

     

 

 

  
  

Total

       $ 445,581,218      $ 445,581,218  
        

 

 

     

 

 

  

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 10/15/18 - 11/3/18
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        —        (a)
4.   

Kmart Corporation

      087-18-23549     

Banco Popular

      0247        55,834      (b)
5.   

Kmart Corporation

      087-18-23549     

Banco Popular

      6180        437,538      (b)
6.   

Kmart Corporation

      087-18-23549     

BancorpSouth

      3945        12,000      (c)
7.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      0136        —        (a)
8.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      0508        —        (a)
9.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      0986        —        (a)
10.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      0994        —        (a)
11.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      1000        —        (a)
12.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      2102        340,093      (a)
13.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      3295        —        (a)
14.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      3531        —        (a)
15.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      3816        —        (a)
16.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      3896        —        (d)
17.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      3929        1,345,205      (d)
18.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      4404        —        (a)
19.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      5450        N/A      (e)
20.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      6005        —        (a)
21.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      6911        —        (a)
22.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7539        —        (d)
23.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7542        —        (d)
24.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7555        —        (d)
25.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7743        —        (d)
26.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7756        —        (d)
27.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7769        —        (a)
28.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7772        —        (a)
29.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7785        —        (d)
30.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7798        —        (a)
31.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7808        —        (a)
32.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7811        —        (a)
33.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7824        —        (d)
34.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7837        —        (d)
35.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      7970        —          (f)
36.   

Kmart Corporation

      087-18-23549     

Bank of America, N.A.

      8978        N/A      (k)
37.   

Kmart Corporation

      087-18-23549     

Bank Of Oklahoma

      5769        9,212      (g)
38.   

Kmart Corporation

      087-18-23549     

BB&T Bank

      8654        80,074      (a)
39.   

Kmart Corporation

      087-18-23549     

Capital One Bank

      9632        57,021      (h)
40.   

Kmart Corporation

      087-18-23549     

Cherokee State Bank

      0494        43,179      (j)
41.   

Kmart Corporation

      087-18-23549     

Citizens Bank

      7910        80,375      (a)

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 10/15/18 - 11/3/18
MOR-1c    Federal Tax I.D. No. 20-1920798
(in US Dollars)   
(Unaudited)   

 

BANK ACCOUNT INFORMATION

 

          CASE         LAST 4 DIGITS      BANK       

#

   

LEGAL ENTITY

    NUMBER   

BANK

    ACCOUNT #      BALANCE     

F/N

42.    Kmart Corporation    087-18-23549    First and Farmers Bank      0543        33,086      (d)
43.    Kmart Corporation    087-18-23549    First Bank and Trust Company      9130        39,946      (i)
44.    Kmart Corporation    087-18-23549    First Hawaiian Bank      0940        566,777      (a)
45.    Kmart Corporation    087-18-23549    First Interstate Bank of Billings NA      2277        14,484      (b)
46.    Kmart Corporation    087-18-23549    First Interstate Bank of Riverton      1274        2,730      (b)
47.    Kmart Corporation    087-18-23549    First National Bank      0001        40,710      (j)
48.    Kmart Corporation    087-18-23549    Fidelity Bank      2180        3,863      (j)
49.    Kmart Corporation    087-18-23549    First National Bank of Grayson      4081        55,989      (j)
50.    Kmart Corporation    087-18-23549    First Security      9005        80,482      (j)
51.    Kmart Corporation    087-18-23549    First Security      7014        127,944      (l)
52.    Kmart Corporation    087-18-23549    First State Bank      6705        41,225      (d)
53.    Kmart Corporation    087-18-23549    First Tennessee      0555        48,225      (a)
54.    Kmart Corporation    087-18-23549    Hilltop National Bank      4003        49,175      (d)
55.    Kmart Corporation    087-18-23549    Iowa State Bank      4408        27,430      (d)
56.    Kmart Corporation    087-18-23549    M&T Bank      2880        6,973      (a)
57.    Kmart Corporation    087-18-23549    NBT Bank      0573        3,952      (j)
58.    Kmart Corporation    087-18-23549    NorState Federal Credit Union      6752        25      (j)
59.    Kmart Corporation    087-18-23549    Old National Bank      5501        46,076      (j)
60.    Kmart Corporation    087-18-23549    PNC Bank      0169        147,944      (a)
61.    Kmart Corporation    087-18-23549    PNC Bank      3334        1      (a)
62.    Kmart Corporation    087-18-23549    PNC Bank      9553        —        (a)
63.    Kmart Corporation    087-18-23549    Union Bank      1583        732,531      (a)
64.    Kmart Corporation    087-18-23549    United Missouri Bank      0553        80,446      (a)
65.    Kmart Corporation    087-18-23549    United Missouri Bank      3100        4,611      (a)
66.    Kmart Corporation    087-18-23549    United Missouri Bank      4642        10,000      (a)
67.    Kmart Corporation    087-18-23549    Wells Fargo      0318        551,742      (a)
68.    Kmart Corporation    087-18-23549    Zions National Bank      6778        7,460      (j)
69.    Sears Holdings Corporation    087-18-23538    Bank of America, N.A.      0679        18,702      (d)
70.    Sears Holdings Corporation    087-18-23538    Bank of America, N.A.      4266        —        (a)
71.    Sears Holdings Corporation    087-18-23538    Bank of America, N.A.      6719        —        (a)
72.    Sears Holdings Management Corporation    087-18-23553    Bank of America, N.A.      5426        —        (d)
73.    Sears Holdings Management Corporation    087-18-23553    Bank of America, N.A.      6338        —        (d)
74.    Sears Holdings Management Corporation    087-18-23553    Bank of America, N.A.      6722        —        (a)
75.    Sears Holdings Management Corporation    087-18-23553    KeyBank      1056        3,621      (j)
76.    Sears Holdings Management Corporation    087-18-23553    US Bank      8942        231      (j)
77.    Sears Home Improvement Products, Inc.    087-18-23555    Bank of America, N.A.      0978        —        (a)
78.    Sears Protection Company    087-18-23558    Bank of America, N.A.      4583        38,279      (a)
79.    Sears Protection Company (Florida), LLC    087-18-23569    Bank of America, N.A.      4596        25,474      (a)
80.    Sears Protection Company (PR), Inc.    087-18-23559    Banco Popular      5678        39,880      (a)
81.    Sears Roebuck Acceptance Corp.    087-18-23560    Bank of America, N.A.      0955        —        (d)
82.    Sears Roebuck Acceptance Corp.    087-18-23560    Bank of America, N.A.      6815        —        (d)

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 10/15/18 - 11/3/18
MOR-1c    Federal Tax I.D. No. 20-1920798
(in US Dollars)   
(Unaudited)   

 

BANK ACCOUNT INFORMATION

 

          CASE         LAST 4 DIGITS      BANK       

#

   

LEGAL ENTITY

    NUMBER   

BANK

    ACCOUNT #      BALANCE     

F/N

83.    Sears Roebuck Acceptance Corp.    087-18-23560    Bank of America, N.A.      9512        117,730      (d)
84.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      0149        —        (a)
85.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      0556        —        (d)
86.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      0895        —        (a)
87.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      0903        —        (a)
88.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      0911        —        (a)
89.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      0929        —        (a)
90.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      0945        —        (a)
91.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      0952        —        (a)
92.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      1451        —        (a)
93.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      1595        1,309,198      (a)
94.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      3107        —        (d)
95.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      3266        —        (a)
96.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      4120        —        (a)
97.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      4205        —        (a)
98.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      4394        —        (d)
99.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      5261        498,861      (a)
100.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      5468        —        (a)
101.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      5885        —        (a)
102.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      6570        —        (i)
103.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      6654        —        (d)
104.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      6667        —        (d)
105.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      7607        —        (d)
106.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      7776        —        (a)
107.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      7802        —        (a)
108.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      7828        —        (d)
109.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      7831        —        (d)
110.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      7844        —        (d)
111.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      7857        (0 )     (d)
112.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      7969        —        (d)
113.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      7972        —        (d)
114.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      8279        N/A      (m)
115.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      8855        —        (a)
116.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      8868        —        (a)
117.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      8871        —        (d)
118.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      8884        —        (a)
119.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      8960        —        (d)
120.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      8965        N/A      (k)
121.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      8973        —        (d)
122.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      8981        259,231      (a)
123.    Sears, Roebuck and Co.    087-18-23537    Bank of America, N.A.      8986        —        (d)

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 10/15/18 - 11/3/18
MOR-1c    Federal Tax I.D. No. 20-1920798
(in US Dollars)   
(Unaudited)   

 

BANK ACCOUNT INFORMATION

 

        CASE         LAST 4 DIGITS     BANK      

#

  

LEGAL ENTITY

   NUMBER    

BANK

   ACCOUNT #     BALANCE     F/N
124.   Sears, Roebuck and Co.     087-18-23537     Bank of America, N.A.     8994       —       (d)
125.   Sears, Roebuck and Co.     087-18-23537     Bank of America, N.A.     9415       1,847     (d)
126.   Sears, Roebuck and Co.     087-18-23537     Bank of America, N.A.     9457       636,795     (d)
127.   Sears, Roebuck and Co.     087-18-23537     Bank of America, N.A.     9939       —       (a)
128.   Sears, Roebuck and Co.     087-18-23537     Bank Of Oklahoma     1048       29,743     (a)
129.   Sears, Roebuck and Co.     087-18-23537     Capital One Bank     4557       —       (j)
130.   Sears, Roebuck and Co.     087-18-23537     Capital One Bank     9999       15,187     (a)
131.   Sears, Roebuck and Co.     087-18-23537     Citizens Bank     3397       175,504     (a)
132.   Sears, Roebuck and Co.     087-18-23537     First Hawaiian Bank     8911       216,133     (a)
133.   Sears, Roebuck and Co.     087-18-23537     First Tennessee     0003       23,874     (a)
134.   Sears, Roebuck and Co.     087-18-23537     KeyBank     4236       28,188     (j)
135.   Sears, Roebuck and Co.     087-18-23537     PNC Bank     2515       91,240     (a)
136.   Sears, Roebuck and Co.     087-18-23537     PNC Bank     3342       —       (a)
137.   Sears, Roebuck and Co.     087-18-23537     PNC Bank     3424       —       (a)
138.   Sears, Roebuck and Co.     087-18-23537     Regions Bank     5433       51,679     (a)
139.   Sears, Roebuck and Co.     087-18-23537     Union Bank     4871       437,711     (a)
140.   Sears, Roebuck and Co.     087-18-23537     Wells Fargo     2397       419,429     (a)
141.   Sears, Roebuck de Puerto Rico, Inc.     087-18-23561     Banco Popular     1580       —       (a)
142.   Sears, Roebuck de Puerto Rico, Inc.     087-18-23561     Banco Popular     7665       317,634     (a)
143.   StarWest, LLC     087-18-23579     Bank of America, N.A.     9396       —       (a)
144.   Sears Roebuck Acceptance Corp.     087-18-23560     Bank of America, N.A.     N/A       339,052,707     (n)

Footnote(s):

 

(a)

The bank statement(s) are for the period from 10/6/18 through 11/2/18.

(b)

The bank statement(s) are for the period from 9/29/18 through 10/26/18.

(c)

The bank statement(s) date is 11/2/18.

(d)

The bank statement(s) are for the period from 9/29/18 through 10/31/18.

(e)

Kmart Corporation (087-18-23549) Bank of America, N.A. account ending in x5450 is a new account opened November 2018.

(f)

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 11/3/18.

(g)

The bank statement(s) are for the period from 9/30/18 through 11/2/18.

(h)

The bank statement(s) are for the period from 10/6/18 through 10/31/18.

(i)

The bank statement(s) are for the period from 9/28/18 through 10/31/18.

(j)

The bank statement(s) are for the period from 10/1/18 through 10/31/18.

(k)

Kmart Corporation (087-18-23549) Bank of America, N.A. account ending in x8978 and Sears, Roebuck and Co. (087-18-23537) Bank of America, N.A. account ending in x8965 are “dormant” bank accounts with zero balances as of 11/3/18.

(l)

The bank statement(s) are for the period from 10/3/18 through 11/4/18.

(m)

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

(n)

The Escrow DIP Financing Account funds were held by Bank of America, N.A. on behalf of the Company as of 11/3/18.

(o)

The Escrow PBGC Account is an account held for the benefit of the PBGC and therefore not listed in the accounts above. The account had a balance of approximately $281MM as of 11/3/18.

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 10/15/18 - 11/3/18
MOR-1d    Federal Tax I.D. No. 20-1920798
(in US Dollars)   

(Unaudited)

   

 

SCHEDULE OF RETAINED RESTRUCTURING PROFESSIONAL FEE DISBURSEMENTS & US TRUSTEE FEES (a)

Footnote(s):

 

(a)

There were no fees disbursed to retained Restructuring Professionals or to the US Trustee from 10/15/18 through 11/3/18.

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
(Jointly Administered)    Reporting Period: 10/15/18 - 11/3/18
MOR-2    Federal Tax I.D. No. 20-1920798

(Unaudited)

   
  

 

STATEMENT OF OPERATIONS

Condensed & Consolidated Income Statement (a)

 

     For the period
October 15—
November 3, 2018		  
     (in millions)  

REVENUES

   

Merchandise sales and services

    $ 468  

Services and other

      127  
  

 

 

  

Total revenues

      595  

COSTS AND EXPENSES

   

Cost of sales, buying and occupancy—merchandise sales

      487  

Cost of sales and occupancy—services and other

      74  
  

 

 

  

Total cost of sales, buying and occupancy

      561  

Selling and administrative

      174  

Depreciation and amortization

      16  

Impairment charges

      104  

Gain on sales of assets

      —    
  

 

 

  

Total costs and expenses

      855  
  

 

 

  

Operating income (loss)

      (260 ) 

Reorganization, net

      (131 ) 

Interest expense

      (27 ) 

Interest and investment income (loss)

      4  

Other loss

      (15 ) 
  

 

 

  

Income (loss) before income taxes

      (429 ) 

Income tax (expense) benefit

      25  
  

 

 

  

NET LOSS

    $ (404 ) 
  

 

 

  

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: 10/15/18 - 11/3/18

MOR-3

    Federal Tax I.D. No. 20-1920798

(Unaudited)

   
  

 

BALANCE SHEET

Condensed & Consolidated Balance Sheet (a)

 

     As of  
     November 3, 2018  
     (in millions)  

ASSETS

   

Current assets

   

Cash and Cash Equivalents

    $ 497  

Restricted Cash

      281  

Accounts Receivable

      349  

Merchandise Inventories

      2,324  

Prepaid Expenses and Other Current Assets

      946  
  

 

 

  

Total Current Assets

      4,397  

Property and Equipment (net of accumulated depreciation and amortization)

      1,032  

Goodwill and Intangible Assets

      698  

Other Assets

      395  

Investment in Subsidiaries

      26,588  
  

 

 

  

TOTAL ASSETS

    $ 33,110  
  

 

 

  

LIABILITIES

   

Current Liabilities

   

Short-Term Borrowings

    $ 1,068  

Current Portion of Long-Term Debt and Capitalized Lease Obligations

      437  

Debtor-in-possession credit facility

      112  

Merchandise Payables

      102  

Intercompany Payables

      27,724  

Other Current Liabilities

      1,458  
  

 

 

  

Total Current Liabilities

      30,901  

Long-term Debt and Capitalized Lease Obligations

      2,988  

Pension and Postretirement Benefits

      135  

Deferred Gain on Sale-Leaseback

      240  

Sale-Leaseback Financing Obligation

      371  

Unearned Revenues

      587  

Other Long-term Liabilities

      403  
  

 

 

  

Total Liabilities Not Subject to Compromise

      35,625  

Liabilities Subject to Compromise

      4,595  

Commitments and Contingencies

      —    

DEFICIT

   

Total Deficit

      (7,110 ) 
  

 

 

  

TOTAL LIABILITIES AND DEFICIT

    $ 33,110  
  

 

 

  

Footnote(s):

 

(a)

Numbers may not foot due to rounding

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
Debtor    Reporting Period: 10/15/18 - 11/3/18

MOR-4a, 4b, 4c

    Federal Tax I.D. No. 20-1920798

(in US Dollars)

   
  

 

MOR-4a: STATUS OF POST-PETITION TAXES

Subject: October stub period 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/ Rob 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

    $ 102,028,548         $ —        $ —        $ —        $ 102,028,548  

MOR-4c: ACCOUNTS RECEIVABLE AGING

 

DESCRIPTION

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

Accounts Receivable, Net

    $ 308,333,555      $ 25,606,851      $ 9,351,242      $ 2,099,329      $ 3,610,099      $ 349,001,077  

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
Debtor    Reporting Period: 10/15/18 - 11/3/18

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, Cash Reimbursement Non-Tax, Commuter Pay, Expense Reimbursement

    $ 442,236  

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: (a) such person’s influence over the control of the Debtors; (b) the management responsibilities or functions of such individual; (c) the decision-making or corporate authority of such individual; or (d) 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    Reporting Period: 10/15/18 - 11/3/18
MOR-6    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  

DIP ABL Facility. Note: shows draws and paydowns of DIP term loans only; the revolving advances are repaid with daily cash sweep

    $ —        $ 111,889,241      $ —        $ 111,889,241  

In re: SEARS HOLDINGS CORPORATION, et al.    Case No. 18-23538 (RDD)
Debtor    Reporting Period: 10/15/18 - 11/3/18
   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 relevant 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 and 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   
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