International News - Store closures at Kmart outlined

Kmart, the US retailer in Chapter 11 bankruptcy protection, has announced it is to axe 326 stores and 35,000 jobs. Some analysts believe liquidation is an increasing possibility.

Last year, the retailer shut 284 stores and sacked 22,000 staff as it rushed to meet debt repayments. But its pain has continued and it faces a bankruptcy hearing on January 28.

Lawyers acting for Kmart are quizzing former president and chief operating officer Mark Schwartz.

Kmart suffered the ignominy of ejection from the New York Stock Exchange last month after an 84-year spell.