Sears has hired advisors to help the company prepare for a possible bankruptcy, The Wall Street Journal reported on Tuesday.
The struggling retailer is bringing in M-III Partners to put together a bankruptcy filing that could land as early as this week, The Journal reported citing people familiar with the plans.
Sears has been losing money and closing stores for years, in part because of an e-commerce boom that has seen companies like Amazon dominate the retail market. The company in May got a small boost in its share price on news that it was partnering with Amazon to provide automotive services to Amazon customers at Sears locations.
Despite this, the outlook for Sears has been dismal. The company is staring down a $134 million debt payment due on Monday.
M-III Partners is said to have been working on the potential bankruptcy filing for a few weeks, according to The Journal’s sources who say the company is considering other options as well.