While the Stettler Sears depot has been able to avoid the axe in previous downsizing by its parent company, its luck ran out with a recent announcement of more closures.
On Thursday, April 21, Sears Holdings Corp. announced it would close another 78 stores in the coming months. The 78 stores make up about five per cent of the organization's total store network. It's the second wave of the axe, as the company closed a total of 1,672 stores by the end of this past January. Most of the new wave of closures will be done by the end of July.
One of those 78 stores is Stettler's own Sears, which will close May 31.
Zac Jackson, the owner of the Sears store in Stettler, isn't happy with the news, but it's something he's not able to fight back against.
"You can't plead your case," he said. "The contract is up, and they're a big company. You can't push back."
The biggest hit for Jackson is that all of the money he has invested in the business, to the tune of $100,000, evaporates with the closure.
"All the value in the store vanished in about two minutes," he revealed. And while he will be able to make some money off closing sales as he liquidates his stock, Jackson noted that Sears has, with other companies, clawed back some of that money to account for merchandise it believes is missing.
With all of his capital was invested in the business, it means Jackson has few options moving forward. He's not going to be able to open as an independent retailer, and instead will be going to another local business as an employee, selling something else entirely — and having nothing to do with Sears.
According to Jackson, Sears suggested he go independent and keep a catalog store in the business, but it's not something he was financially able, or personally willing, to do. He said the company will be looking for a business in the community to partner with. People who are expecting orders will see them shipped to the closest catalog stores.
"There were 21 dealer stores in 2012 in Alberta," Jackson said. "Now there's only seven. And we have to stay open until the closing date on May 31."
He said that other stores, trying to save up some money, would close early, only to find themselves in legal trouble with Sears.
Jackson has owned the Stettler Sears store for the past seven years, but Sears has been in the community for a quarter-century, first as a catalog store, and then as a larger dealer store.
Sears has struggled for several years to become solvent, and has been slashing costs and selling assets in an effort to attract more buyers and cut expenses. Despite these measures, the company has not restored profitability.