NEW YORK (AFP) - Kmart Holding Corp. said Monday it has finalized a previously-announced plan to sell a tranche of its stores to Home Depot Inc. for a total of 271 million dollars.
The transaction covers 18 stores, one less than was under discussion, and should close in the fourth quarter, Kmart said.
Kmart, holding company for the Kmart discount retail chain, has already received 54.6 million. The balance is due in the last quarter.
"We are pleased to announce the successful completion of this transaction," Kmart chief executive Julian Day said in a press release. "The stores we are retaining from the originally announced transaction have been operating profitably and better than plan for this year. We look forward to providing continued service to our customers at these locations."
Kmart said 230 staff, or 41 percent of the full-time and management associates affected by this transaction, will be offered opportunities within other Kmart locations.
In addition, The Home Depot plans to employ approximately 200 associates per store.