Kmart says re-org plan will be ready in February

By Staff -- Home Textiles Today, 10/21/2002 2:02:00 PM

Troy, MI – Kmart Corp. today reiterated its intention to emerge from Chapter 11 bankruptcy under a "fast-track reorganization" by July 2003 and said it will complete a comprehensive, five-year business plan by the end of this year. The company also announced it will file its reorganization plan with the bankruptcy court on or before Feb. 24.

"This timeline is aggressive and will require a lot of hard work in a relatively short period of time, but should be doable," said James Adamson, chairman and ceo, adding that he does not want the company to remain under court protection "a day longer than necessary."

The company also said that comp sales trended up slightly in September and the first half of October, primarily due to promotions. Kmart said its availability under its debtor-in-possession facility as of Sept. 25 was $1.5 billion.