Sears Sale Plan Blasted by Creditors as ‘Foolhardy Gamble’ (2)

Chairman Eddie Lampert wants to keep Sears Holdings Corp. alive, but a group of the company’s creditors say they’d be better off if Sears were dead.

Eddie Lampert

Source: Sears Holdings Corp.

The plan envisioned by Lampert amounts to “an unjustified and foolhardy gamble with other people’s money,” the unsecured creditors committee said in court papers on Nov. 9. Staying in operation long enough to allow a sale would burn through as much as half a billion dollars, which should instead go to creditors, the group said.

Sears filed for bankruptcy protection Oct. 15 after years of decline, and on Nov. 2 proposed to auction ...