• by Sarah Mahoney  @mahoney_sarah, January 5, 2017

Sears should audition for the next cast of Survivor.

The once-mighty retailer—frequently described by experts as trapped “in a death spiral”—just announced that it would sell off its Craftsman tool brand in a deal valued at $900 million, shut down 150 non-profitable stores, and once again tap into funds from CEO Edward S. Lampert.

The moves may bolster its bloody balance sheets as it continues in its struggle to reinvent itself, searching for new ways to connect with consumers. 

But thus far, its efforts are failing: It also revealed that same-store sales in November and December dropped a dismal 12%. It’s posted losses for the last five quarters and hasn’t managed a sales increase in over five years.

Sears, based in Hoffman Estates, Ill., says that to stem some of its losses, it will shutter another 108 Kmart and 42 Sears stores. And it says it is creating an additional $1 billion in liquidity with new loans, including $500 million from ESL Investments, owned by Lampert.

"Going forward, Sears will be more focused on our Shop Your Way membership platform, a network with tens of millions of active members,” Lampert says in its announcement. He says the company’s integrated retail strategy will allow it to be “a more nimble, innovative and relevant retailer that is better able to provide value and convenience to our customers.”

With the sale of Craftsman to Stanley Black & Decker, the company’s portfolio of venerable private-label brands shrinks to include just Die Hard batteries and Kenmore appliances, and it says it is continuing to seek partnerships or buyers for those, as well. (It spun off Lands’ End in 2014.) Sears will continue to sell Craftsman-branded products in a licensing agreement, and not pay royalties for 15 years. Stanley Black & Decker, in its release, says it intends to invest in product development and new channels for Craftsman.

Last month, Standard & Poor’s reaffirmed its negative outlook on the battered chain. “Sears’ ongoing poor retail operating performance alongside shifting consumer preferences continues to consume meaningful cash despite significant ongoing cost reductions and store closures,” it writes. But it says Sears also has considerable untapped real-estate assets to shore up its position.

While Sears’ problems may be extreme, it’s hardly the only mall store that’s suffering. Besides Macy’s news that it would slash 10,000 jobs on weak holiday results, Kohl’s says it, too, endured a crummy Christmas, with sales falling 2.7% in the combined November/December holiday period. (Macy’s sales also fell 2.7% in that period.)