Sears stock was on the rise Tuesday on news of an expansion to its tire deal with Amazon (NASDAQ:AMZN).
The news that is sending Sears stock higher today is that the tire installation and balance offer available for Amazon customers is available at more stores. In fact, it is now available at all Sears (NASDAQ:SHLD) Auto Centers in the U.S. This also includes both Alaska and Hawaii.
This is a major increase in the number of stores that are part of the deal. Previously, the offer was only available to Amazon customers that took their cars to 47 select Sears Auto Center locations in eight metropolitan markets.
The deal between Sears and Amazon has the former installing all tires and balancing them for customers that purchase them through Amazon. This includes Sears’ own DieHard brand, as well as any other tire. AMZN customers can choose to have their tires installed at Sears when going through the checkout process.
“The response from Amazon customers around this program has been extremely positive,” Mike McCarthy, Vice President and General Manager of Sears Automotive, said in a statement. “Our competitive bundled price for tire installation, which includes the installation of the tire, wheel balancing, valve stem or tire pressure monitor rebuild kit and the tire disposal fee is resonating with these customers.”
The expanding deal with Amazon is great news for Sears stock in light of the company’s recent issues. Problems at the retailer have resulted in it closing hundreds of stores across the U.S. The most recent closing announcement from the company adds another 33 stores to that list. This also includes locations with Sears Auto Centers.
SHLD stock was up 14% as of noon Tuesday, but is down 70% year-to-date.
As of this writing, William White did not hold a position in any of the aforementioned securities.