Sears to Close Up to 120 Kmart and Sears Stores

So much for the blockbuster Christmas sales season.

Between 100 and 120 Sears and Kmart stores will be closed, Sears Holdings said Tuesday, after terrible holiday sales during what is the most crucial time of the year for retailers.

Sears has yet to determine which stores will be closed, but there has been a clear shift in where the retailer will devote its resources.

The company is moving away from its practice of propping up "marginally performing" stores in hopes of improving their performance. Sears said it will now concentrate on cash-generating stores.

"Given our performance and the difficult economic environment, especially for big-ticket items, we intend to implement a series of actions to reduce ongoing expenses, adjust our asset base, and accelerate the transformation of our business model," said CEO Louis D'Ambrosio. "These actions will better enable us to focus our investments on serving our customers."