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Eddie Lampert to Stay on as Sears CEO Until 2018

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Eddie Lampert, the much maligned majority shareholder, chairman and chief executive of Sears Holding Corp., is staying put.

According to a proxy statement filed Friday, Lampert will remain in the role of CEO through 2018. Specifically, the filing said he would continue to receive compensation for his service during each of the company’s 2016, 2017 and 2018 fiscal years.

The proxy disclosed that Lampert was paid $4.3 million in 2015 ($1 of which was his salary; the remainder was stock awards), down from the $5.7 million he received in 2014, and did not include a bonus.

It’s no secret that the owner of Sears and Kmart struggled last year. Revenues declined by more than $6 billion to $25.1 billion in 2015, down from $31.2 billion in the prior year, and comps dropped 7.1% in the most recent quarter.

Robert Schriesheim, executive vice president and chief financial officer, also took a hit. His total compensation package last year was $972,137, compared with $1.3 million in the prior year.

Notably, the company’s new president of fulfillment, Girish Lakshman, who was hired from Amazon last September, was paid $1.68 million, which included a bonus of $1.37 million.

During a conference call following the release of the company’s fourth-quarter earnings, Lampert said, “Supply chain continues to be an area of focus to improve both flexibility and profitability. We are increasing our sourcing capabilities that will enable us to grow our direct import penetration and lead to higher gross margin.” In particular, Sears plans to improve the performance of its apparel business through changes to sourcing, product assortment, space allocation, pricing, and expense and inventory management practices.

As of Jan. 30, Sears Holdings operated 1,672 stores—down from 1,725 in 2014—across two formats: 1,253 of those locations were leased.

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