More Store Closures Won't Save Sears Holdings From Bankruptcy

Store closures have been a dominant theme at struggling retail giant Sears Holdings (NASDAQ: SHLD) lately. The Sears and Kmart chains are both losing money, and the company hopes to shore up its financial position through downsizing.

Last week, Sears Holdings announced that it will close another 63 stores in January. However, there's no sign that closing more stores will allow Sears Holdings to avoid -- or even delay -- its ongoing spiral into bankruptcy.

In recent years, Sears Holdings has been burning more than $1 billion of cash annually -- and the long-term trend has been toward ever-greater cash outflows. For its last four reported quarters, Sears' free cash flow was negative to the tune of $2 billion:

Source: Fool.com