Feb. 28 (Bloomberg) -- Sears Holdings Corp. Chairman Edward Lampert is invoking Eli Manning, the once-maligned New York Giants quarterback-turned-Super Bowl hero, to inspire investors unhappy with a 44 percent loss in the past 12 months.

Manning ``did not give up or lose heart,'' Lampert wrote in a letter to shareholders accompanying the retailer's fourth- quarter profit report today. ``Like Eli Manning, we know what it's like to be underestimated and questioned.''

Sears's net income sank by 47 percent, and revenue declined for the fourth straight quarter as sales of clothing and appliances fell. Lampert attributed the plunge both to a crumbling housing market and the company's own missteps.

``When companies are doing badly, they get very creative,'' said Nell Minow, editor of the Corporate Library, a Portland, Maine-based corporate-governance research firm. ``It's like a kid explaining his bad report card.''

Lampert spokesman Steven Lipin didn't immediately return a call for comment.

Sears rose 20 cents to $101.40 at 4 p.m. New York time in Nasdaq Stock Market composite trading. The stock was little changed this year before today.

Lampert, the hedge-fund manager who brought Kmart Holding Corp. out of bankruptcy in 2003, engineered the discount retailer's $12.3 billion acquisition of Sears, Roebuck & Co. less than two years later and took the Sears name for the whole company. His funds hold 48 percent of the retailer, according to Bloomberg data.

Boosting Profit

He said the company's focus in 2008 would be on reviving profitability while consumer demand weakens with the U.S. housing market and rising prices for food and fuel.

``Our profit margins continue to lag our competitors,'' Lampert wrote. ``We intend to manage the company's expenses and our inventory position more tightly in 2008.''

Lampert said Manning's comeback story ``reminds me of what we went through a few years ago with Kmart.'' While Kmart had been ``given up for dead,'' Lampert said, it returned to profitability in 2004.

Carol Levenson, a bond analyst and director of research at Gimme Credit, called the letter a ``diatribe from the persecuted CEO, who has changed his identification figure from Underdog to Eli Manning.''

Interceptions, Touchdowns

Manning, the top pick in the 2004 draft, disappointed Giants fans by throwing almost as many interceptions as touchdowns in his four years.

In the past season, Manning led the Giants through the playoffs with six touchdowns and one interception, and won the Super Bowl against the then-undefeated New England Patriots, who were favored by 12 points. He was named the title game's most valuable player. Manning's agent Tom Condon didn't return a call seeking comment.

The Sears chairman also gave an opinion on another football team that may cause concern for shareholders.

``I am actually a lifelong fan of the New York Jets,'' Lampert said. The Jets lost 12 of their 16 games last season.

To contact the reporter on this story: Lauren Coleman-Lochner in New York at llochner@bloomberg.net.

Last Updated: February 28, 2008 16:19 EST