Walmart's sales increased by 26%. Sears' sales only increased by 1%. The company's sales for 1990 were $31.9 billion. Sears discontinued its famous catalog in 1993. The company spun out its largest subsidiary, the Allstate Corporation, in 1995. The company began offering car and electronic repair services in order to attract more customers. The early 2000s saw several changes. Lands' End was purchased by Sears in 2002. Sears sold its credit-card business to Citigroup in order to concentrate on retail. The credit-card business accounted for more than half of Sears' annual profits. Sears and Kmart merged in 2005 to become the second largest retailer in the US behind Walmart. Eddie Lampert, a hedge fund manager, is the chairman of the newly formed Sears Holding Corporation. Sears sued the former CEO and others, claiming they stole billions of dollars from the retailer. Sears accused Lampert of protecting his hedge fund's stake in Lands' End by turning down Tommy Hilfiger's offer to buy the store. The spinoff of Lands' End that did not benefit Sears was one of the accusations made in the suit. More than $2 billion of assets were transferred to himself and Sears' other shareholders by Lampert. The allegations were called "misleading or just flat wrong" by the company. An agreement to resolve the litigation was approved by a court. According to Retail Dive, Sears and the other defendants did not admit to any wrongdoing as part of the settlement.
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