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Sears plans to get $1B senior secured term loan

HOFFMAN ESTATES, Ill. (AP) -- Sears plans to get a $1 billion senior secured term loan to help lower borrowings under its revolving credit facility.

The department store operator said Monday that the term loan would be issued under its existing credit agreement, which provides for a $3.28 billion revolving credit facility.

The term loan is expected to mature in June 2018.

Sears Holdings Corp. is based in Hoffman Estates, Ill. Last month the company, which runs Sears and Kmart stores, reported that its second-quarter loss widened as it continued to struggle with weak sales and deep discounts.

Sears Holdings shares finished at $50.42 on Friday. They have traded in a range of $38.40 to $68.77 over the past 52 weeks.