Stanley Black & Decker (NYSE: SWK), an S&P 500 global diversified industrial company, announced today that it has successfully completed its purchase of the Craftsman brand from Sears Holdings Corporation (NASDAQ: SHLD) for a net present value of approximately $900 million in cash, giving Stanley Black & Decker the right to develop, manufacture and sell Craftsman-branded products outside the Sears Holdings and Sears Hometown & Outlet Stores distribution channels. This transaction was originally announced on January 5, 2017.

Stanley Black & Decker's President and Chief Executive Officer, James M. Loree commented, "We are pleased to complete the purchase of the Craftsman brand, a legendary American brand with tremendous consumer awareness built on a legacy of providing reliable products at a good value and standing behind them. We will invest in the brand with a focus on quality, innovation and U.S. manufacturing, with the goal of rapidly increasing sales through new channels and will provide more information on our distribution plans as they are developed. We are confident that we can grow Craftsman while continuing to execute on our other core strategic initiatives, leveraging our world class innovation, commercial and operational excellence and experienced team. We also understand the Craftsman warranty is important to existing customers and intend to honor existing and offer similar warranties going forward. As we continue our growth journey, we will pursue opportunities across the portfolio to build upon our world-class franchises to create shareholder value."

As previously announced, Stanley Black & Decker has made a $525 million cash payment to Sears Holdings at closing and will make a $250 million payment at the end of year three and annual payments to Sears Holdings of between 2.5% and 3.5% on new Stanley Black & Decker sales of Craftsman products through year 15.