Sears Holdings Corp., the third-largest U.S. retailer, said Thursday its second-quarter earnings rose 4.5 percent, and the company noted that all losses from Hurricane Katrina are expected to be covered by insurance, AP reproted. Sears Holdings was formed through Kmart Holding's acquisition of Sears, Roebuck & Co., which was completed on March 24, 2005. Therefore, year-ago results only reflect Kmart's financials and don't include Sears' income and revenue. Second-quarter net income grew to $161 million (¤129.3 million), or 98 cents per share, from $154 million (¤123.7 million), or $1.54 per share, a year ago. The latest period includes $42 million (¤33.7 million) of restructuring costs related to the merger. On a hypothetical, or so-called pro forma basis, Sears Holdings would have earned $110 million, or 67 cents per share, in the year-ago period. --mor 1450 Local Time 1150 GMT
