Behind every billionaire there is a story!

LAMPERT LICKING WOUNDS

Hedge-fund billionaire Eddie Lampert’s big investment in Sears is plummeting in value, and skeptics on Wall Street say it could dwindle further this year.Sears, surprised by the severity of this year’s economic slowdown, swung to a $56 million loss in the first quarter that surprised analysts. With demand particularly sluggish for appliances, lawn-and-garden products and clothing, sales plunged and the company’s gross margin fell nearly a full percentage point.

Sears shares, which have lost more than half their value over the past year, fell yesterday $3.22, or 3.6 percent, to $86.14.

That’s the latest blow to Lampert and high-dollar investors in his exclusive hedge funds including ESL Investments. Together, they own nearly 66 million, or more than 49 percent of Sears shares. With the stock off 53 percent during the past 12 months, Lampert and his funds have suffered paper losses of nearly $6.4 billion.

read the rest published by NY Post here:

http://www.nypost.com/seven/05302008/business/lampert_licking_wounds_113189.htm