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The Kmart famed "Mr. Bluelight" just might be the nation's favorite gift-guy this holiday season, as the retailer, responding to American families' belt-tightening moves, announced it will continue to offer layaway during the holiday season. Currently, Kmart is the only national discount department store that offers layaway.

Layaway became popular by allowing shoppers to make incremental payments for larger purchases and gift items. "This holiday we know that savvy consumers want to hold onto their ready cash and don't want to tie up their credit or incur interest charges on the cost of a purchase. Yet, they still want to make Christmas happen for their families," said Susan Ehrlich, head of Financial Services, Kmart.

"Layaway enables our customers to reserve those 'hot' items early, pay over time and pick them up before Christmas," added Mark Snyder, chief marketing officer, Kmart. "The Kmart layaway program makes it easier for families to make the holidays special - and Kmart is the one-stop destination for amazing quality and value this season."

Kmart offers an extensive range of exclusive merchandise for layaway, from trusted brands, including Craftsman* tools and equipment, Martha Stewart Everyday cookware and holiday decor, Jaclyn Smith apparel and home lines, and apparel from Route 66, Joe Boxer and Wckd.

  More of the great holiday values exclusively at Kmart include:

  -- Celebrations by Radko, a unique assortment of boxed glass ornaments
     exclusively for Kmart. The new collection by Christopher Radko庐, the
     original manufacturer of handmade glass ornaments and holiday
     collectibles.
  -- Jaclyn Smith 100-percent cashmere sweaters
  -- Range of home electronic systems from Samsung, Sony and Panasonic - all
     at affordable prices
  -- Wide variety of the popular Joe Boxer apparel for the family, including
     fleece, loungewear and sleepwear.

"Layaway is also a great way to not only start shopping early and find great selections at Kmart," said Snyder. "It also allows our customers to spread their payments over time and better plan their holiday spending."

Holiday merchandise and "limited supply" items must be picked up by December 5, 2008. Additionally, beginning on November 16, Home Electronics items in excess of $200 cannot be placed in layaway. Layaway fees do apply and layaway is not available at all Kmart stores. See kmart.com/layaway for more details.

  *Also available at Sears.

  About Kmart

Kmart, a wholly owned subsidiary of Sears Holdings Corporation (NASDAQ: SHLD), is a mass merchandising company that offers customers quality products through a portfolio of exclusive brands that include Jaclyn Smith, Joe Boxer, Martha Stewart Everyday and Route 66. For more information visit the company's website at www.kmart.com/ or the Sears Holdings Corporation website at www.searsholdings.com.

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SOURCE: Kmart

CONTACT: Carolyn Goldberg of Euro RSCG Worldwide PR, +1-212-367-6947,
carolyn.goldberg@eurorscg.com; Tom Aiello of Sears Holdings, +1-847-286-7387,
TAIELL1@searshc.com

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