Sears Canada Announces Transactions on Two Stores with Landlord for $191 million

Sears Canada Announces Transactions on Two Stores with Landlord for $191 
TORONTO, June 14, 2013 /CNW/ - Sears Canada Inc. (TSX: SCC) announced today 
that it will enter into a series of transactions related to two stores within 
shopping centres co-owned by Oxford Properties Group ("Oxford") and Alberta 
Investment Management Corporation ("AIMCo") (collectively, the "Co-Owners"). 
The transactions give the Co-Owners the right to require Sears to vacate the 
stores by March 31, 2014 and provide for a total consideration of $191 million 
to be paid to Sears on closing of the transactions which is expected to be on 
June 24, 2013. The agreement is definitive and only subject to customary 
closing conditions. 
The two Sears store locations are at Yorkdale Shopping Centre in Toronto and 
at Square One Shopping Centre in Mississauga. 
In addition to the agreement on the two stores, Sears has also agreed to sell 
an option relating to a third store located at Scarborough Town Centre to the 
Co-Owners for financial consideration of $1 million, also to be paid by June 
24, 2013. The Co-Owners have five years to exercise the option on this 
property at a fixed total cost of $53 million. 
Sears Canada will be offering all associates working in these stores continued 
employment with Sears in locations within the Greater Toronto area. 
"The possible release of select assets is an initiative we have previously 
proposed as a way to create total value for the Company," said Calvin 
McDonald, President and Chief Executive Officer, Sears Canada Inc. "When 
transactions such as this become available, we must evaluate the trading value 
of a store compared to the value of the proposal, and make the appropriate 
decision in assessing the best long-term benefit for the Company. In this 
case, we were presented with an opportunity that gives us a significant 
financial benefit without changing our plans to improve the business and make 
Sears more relevant to Canadians. 
"While opportunities like this are presented to us occasionally," continued 
Mr. McDonald, "our primary focus of creating long-term value for the Company 
is best approached by implementing our three-year transformation. Over the 
past year we have undertaken numerous actions to get the basics right, and 
have worked to transform Sears Canada into a retailer that can run 
effectively, efficiently and sustainably. Our efforts are beginning to show 
financial and operational results, and recent results are demonstrating that 
our trading strategy is starting to work despite a challenging retail 
"I am pleased that we are offering all associates in these stores roles within 
the Company", added Mr. McDonald. "We appreciate the commitment and 
dedication that our associates in the two stores have demonstrated, and look 
forward to finding new homes for them within the Sears family." 
Sears has operated in Yorkdale Shopping Centre and Scarborough Town Centre 
since 1991 and at Square One Shopping Centre since 1973. 
About Sears Canada
Sears Canada is a multi-channel retailer with a network that includes 181 
corporate stores, 248 Hometownstores, over 1,400 catalogue and online 
merchandise pick-up locations, 101 Sears Travel offices and a nationwide home 
maintenance, repair, and installation network. The Company also publishes 
Canada's most extensive general merchandise catalogue and offers shopping 
online at 
Contact for Media:  Vincent Power Sears Canada, Corporate Communications 
SOURCE: Sears Canada Inc. 
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CO: Sears Canada Inc.
ST: Ontario
-0- Jun/14/2013 11:00 GMT
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