UPDATE 1-Sears Canada's same-store sales rise for first time in two years

Thu Dec 3, 2015 7:38am EST
 
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Dec 3 (Reuters) - Canadian department store operator Sears Canada Inc said its same-store sales rose 0.4 percent in the third quarter - the first rise in two years - helped by higher sales of major appliances, furniture and mattresses.

The company, whose largest shareholder is Sears Holdings Corp Chief Executive Eddie Lampert and his hedge fund, has closed stores and cut jobs as it has lost market share to aggressive rivals such as Wal-Mart Stores Inc.

Toronto-based Sears Canada said on Thursday it was aiming for additional cost savings of C$30 million-C$40 million on an annualized basis in the current quarter.

It said it expected to incur a one-time cost of C$15 million-C$20 million for the entire cost reduction program.

The retailer's net loss narrowed to C$53.2 million ($39.9 million), or 52 Canadian cents per share, in the three months ended Oct. 31, from C$118.7 million, or C$1.16 per share, a year earlier.

The company, which traces its Canadian roots back to the early 1950s, said its operating loss fell to C$49.7 million from C$88.7 million in the same quarter last year.

Sears Canada's shares have fallen 4.3 percent this year, closing at C$10.76 on Wednesday.

($1 = C$1.33) (Reporting by Anet Josline Pinto and Darshana Sankararaman in Bengaluru; Editing by Kirti Pandey and Ted Kerr)