Sears Holdings reported a net loss of $748 million compared to a net loss of $454 million for the prior year third quarter. Sears said revenues declined $721 million to $5 billion for Q3/16 compared to revenues of $5.8 billion for Q3/15.

The year-over-year decline in revenues was primarily driven by having fewer Kmart and Sears full-line stores in operation, which accounted for $323 million of the decline, as well as a 7.4% decline in comparable store sales during the quarter, which accounted for $304 million of the revenue decline.

At Kmart, comparable store sales decreased 4.4% driven by declines in the grocery and household, consumer electronics and pharmacy categories, while comparable store sales increases experienced in several categories this quarter, including apparel, jewelry and outdoor living were encouraging.

Sears Domestic comparable store sales decreased 10% during Q3/16, primarily driven by decreases in the home appliances, apparel and consumer electronics categories.

Jason M. Hollar, Sears’ CFO, said, “We will continue to take actions to generate liquidity, adjust our overall capital structure and manage our business while meeting all of our financial obligations. Actions may include additional expense reductions, financing transactions and asset monetization including exploring alternatives for our Kenmore, Craftsman and DieHard brands, our Sears Home Services business and our real estate portfolio.”

Merchandise inventories were $5 billion at October 29, 2016, compared to $6.2 billion at October 31, 2015, while merchandise payables were $1.6 billion and $2.3 billion at October 29, 2016 and October 31, 2015, respectively.

At October 29, 2016, Sears had utilized approximately $1 billion of its $1.971 billion revolving credit facility due in 2020 (consisting of $370 million of borrowings and $660 million of letters of credit outstanding). The amount available to borrow under the credit facility was approximately $174 million, which reflects the effect of the springing fixed charge coverage ratio covenant and the borrowing base limitation in the revolving credit facility, which varies primarily based on overall inventory and receivables balances.

Total long-term debt (including current portion of long-term debt and capital lease obligations) was $3.7 billion and $2.2 billion at October 29, 2016 and January 30, 2016, respectively.