TMXmoneyTMXmoney - invest with insight

Sears reaches deal to carry plus-sized Penningtons brand in its stores

The Canadian Press

TORONTO - The plus-sized clothing brand Penningtons will soon be in sold at select Sears Canada Inc. (TSX:SCC) locations across the country.

The retailer has signed a deal with Penningtons' corporate parent Reitmans (Canada) Ltd. (TSX:RET) to carry the clothing online at Sears.ca and in five of its stores as part of a pilot project.

The project will be rolled out to additional locations and in the spring catalogue next year.

It will be the first time the brand will be available outside of Penningtons stores.

Sears Canada has been reworking its stores and what it sells as part of a major transformation to improve its business.

The company says it sees the plus-sized category, which includes sizes 14 and up, as one of its "key business."

"We're excited to bring Penningtons to Sears because it supports our strategy of working with successful brands that provide immediate credibility and continuity to our apparel offerings," said Sears Canada president and CEO Calvin McDonald in a statement.

"There is a real opportunity for Sears to take a leadership role in serving the plus-size demographic, a segment that has traditionally been underserved. Penningtons caters to a fashion-focused customer, which complements the traditional offering currently available at Sears."