For those of you who still care about Berkowitz's quest for finding value in what may be the world's most poorly run retailer.
http://www.valuewalk.com/2015/03/sears-holdings-corporation-shld-fairholme/(Oh, and this is just a teaser from Fairholme for their larger presentation of how Eddie Lampert will use his magic financial engineering pixie dust to turn a disaster of his own making into gold.)
This will all happen...someday? Because this has only been the most absurdly long, drawn-out, slow-motion, disaster of an attempt to break up a company in history, complete with delusional discussions of a turnaround (I love how Fairholme's website has the "Shop Your Way" image listed by Sears, as if a fee-free membership program is any sort of answer.)
Can't wait for that REIT full of Sears stores in a couple of months and that'll be great because .... Sears will now pay rent to the REIT. If all of this real estate is so wonderful - as Berkowitz proceeds to go into detail here as he did the last time Fairholme did a Sears presentation, why not just sell it instead of REITs and all manner of other gimmicks? The longer this goes on, the more I'm convinced that there just aren't buyers for anything beyond the highest grade real estate that Sears has left and much of it isn't A grade real estate.
I'm not finding Fairholme's quest for value at Sears as ridiculous as Wintergreen's absurd attempt to create change at Coke, but a while longer and it might get there. From the AUM, it looks like shareholders have already lost patience.
Comments
Regards,
Ted
Should I Stay Or Should I Go: The Clash
http://seekingalpha.com/article/3030946-sears-holdings-the-end-game
http://www.valuewalk.com/2015/03/sears-holdings-corporation-shld-fairholme/
One has to wonder if the potential rewards to FAIRX from winning the Fannie Mae litigation business would be muted or cancelled by the Sears proceedings. Lots of figuring going on.