HOFFMAN ESTATES, Ill. (Jan. 29, 2004) — A pretax gain of $81 million from the sale of its National Tire & Battery chain to TBC Corp. helped spur Sears, Roebuck and Co.'s fourth quarter net income up 218 percent to $2.7 billion, the retailer said.
The $260 million deal for 225 NTB stores put the tire chain under TBC's Tire Kingdom Inc. subsidiary, giving that chain some 592 total stores by the end of 2003. Memphis, Tenn.-based TBC will release its fourth quarter and year-end results after market close Feb. 11.
Sears' quarter net income, up from $848 million in 2002, also reflected a $4.1 billion pretax gain from the sale of its domestic credit and financial products business.
“We made significant strides in restructuring the company and repositioning our retail and related services business in 2003,” said Alan Lacy, chairman and CEO.
While Sears does not break out its tire sales results, the company said its retail and related services segment reported operating income of $753 million for the fourth quarter, up from $726 million last year.
For 2003, Sears reported net income of $3.4 billion, up from $1.4 billion in 2002.