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                                 June 12, 2007

   VIA CERTIFIED MAIL

   RETURN RECEIPT REQUESTED

   Jim Edwards

   Manager

   Sears, Roebuck & Co Store #1615

   1401 Greenbrier Pkwy.

   Chesapeake, Virginia 23323

   Sears, Roebuck & Co.

   3333 Beverly Road

   Hoffman Estates, IL 60179

   Attn.: William R. Harker

   Senior Vice President and General Counsel

   Re:  File NoEB-07-NF-046

   Citation No.: C20073264008

   Dear Retailer:

   This is an official CITATION, issued pursuant to Section 503(b)(5) of the
   Communications Act of 1934, as amended ("Act"), 47 U.S.C. S 503(b)(5), to
   Sears, Roebuck & Co. Store #1615 and Sears, Roebuck & Co. (collectively
   "Sears") for failure to provide appropriate Consumer Alert disclosures on
   analog tuner only television receiving equipment in violation of Section
   15.117(k) of the Commission's Rules ("Rules"), 47 C.F.R. S 15.117(k). As
   explained below, future violations of the Commission's rules in this
   regard may subject your company to monetary forfeitures.

   On June 5, 2007,  an agent from the Commission's Norfolk Resident Agent
   Office  of the Enforcement Bureau visited Sears Store #1615 at 1401
   Greenbrier Pkwy, Chesapeake, Virginia 23323 and observed that Sears  did
   not have the proper Consumer Alert label displayed on equipment that
   contained an analog tuner but not a digital tuner at the point of sale.

   Section 15.117(k) of the Commission's Rules states:


     (k) The following requirements apply to all  responsible parties, as    
     defined in S2.909 of this chapter, and any person that displays or      
     offers for sale or rent television receiving equipment that is not      
     capable of receiving, decoding and tuning digital signals.              
                                                                             
     (1) Such parties and persons shall place conspicuously and in close     
     proximity to such television broadcast receivers a sign containing, in  
     clear and conspicuous print, the Consumer Alert disclosure text         
     required by subparagraph (3). The text should be in a size of type      
     large enough to be clear, conspicuous and readily legible, consistent   
     with the dimensions of the equipment and the label. The information     
     may be printed on a transparent material and affixed to the screen, if  
     the receiver includes a display, in a manner that is removable by the   
     consumer and does not obscure the picture, or, if the receiver does     
     not include a display, in a prominent location on the device, such as   
     on the top or front of the device, when displayed for sale, or the      
     information in this format may be displayed separately immediately      
     adjacent to each television broadcast receiver offered for sale and     
     clearly associated with the analog-only model to which it pertains.     
                                                                             
     (2) If such parties and persons display or offer for sale or rent such  
     television broadcast receivers via direct mail, catalog, or electronic  
     means, they shall prominently display in close proximity to the images  
     or descriptions of such television broadcast receivers, in clear and    
     conspicuous print, the Consumer Alert disclosure text required by       
     subparagraph (3). The text should be in a size large enough to be       
     clear, conspicuous, and readily legible, consistent with the            
     dimensions of the advertisement or description.                         
                                                                             
     (3) "CONSUMER ALERT                                                     
                                                                             
     This television receiver has only an analog broadcast tuner and will    
     require a converter box after February 17, 2009, to receive             
     over-the-air broadcasts with an antenna because of the Nation's         
     transition to digital broadcasting. Analog-only TVs should continue to  
     work as before with cable and satellite TV services, gaming consoles,   
     VCRs, DVD players, and similar products. For more information, call     
     the Federal Communications Commission at 1-888-225-5322 (TTY:           
     1-888-835-5322) or visit the Commission's digital television website    
     at: www.dtv.gov."                                                       


   Accordingly, it appears that Sears has violated Section 15.117(k) of the
   Rules by failing to place conspicuously and in close proximity to the
   following equipment, in clear and conspicuous print, the required Consumer
   Alert label:


     Manufacturer   Device   Model #     Number of Units  

     Disney         TV       DT1350P     1                

     Haier          TV       HTN20R15    1                

     Magnavox       TV       15MF605T    1                

     Sony           TV       KV24FS120   1                

     Toshiba        TV       MW27H62     1                


   It also appears that Sears has violated Section 15.117(k)(1) of the Rules
   by failing to place a label on the following equipment in a location so
   that it is "clearly associated with the analog-only model to which it
   pertains:"


     Manufacturer   Device         Model #     Number of Units  

     Sony           DVD recorder   SLV D360P   1                

     Sony           DVD recorder   RDRVX530    1                

     Sylvania       DVD recorder   DVR91DG     1                


   We caution you that failure to display an appropriate Consumer Alert label
   on any television receiving equipment that is not capable of receiving,
   decoding and tuning digital signals would constitute a further violation
   of Section 15.117(k) of the Rules.

   If, after receipt of this citation, Sears  engages in conduct of the type
   described herein, in violation  of the Communications Act or the
   Commission's rules, the Commission may impose monetary forfeitures not to
   exceed $11,000 for each such violation or each day of a continuing
   violation up to $97,500 for a single continuing violation.

   If you choose to do so, you may respond to this citation within 10 days
   from the date of this letter either through (1) a personal interview at
   the Commission's Field Office nearest to your place of business, or (2) a
   written statement. Your response should specify the actions that Sears is
   taking to ensure that it does not violate Section 15.117(k) of the
   Commission's rules in the future.

   If you choose to request a personal interview, the closest FCC Office is
   Federal Communications Commission, 1457 Mount Pleasant Rd., Suite 113,
   Chesapeake, Virginia 23322. You should contact this office by telephone,
   (XXX) XXXX-XXXX to schedule this interview, which must take place within
   10 days of this Citation. Alternatively, as noted above, Sears may submit
   a written statement to the above address within 10 days of the date of
   this Citation. Any written statements should specify what actions have
   been taken to correct the violations outlined above. Please reference file
   number EB-07-NF-046 when corresponding with the Commission.

   Under the Privacy Act of 1974, 5 U.S.C. S 552a(e)(3), we are informing you
   that the Commission's staff will use all relevant material information
   before it, including information that you disclose in your interview or
   written statement, to determine what, if any, enforcement action is
   required to ensure your compliance with the Communications Act and the
   Commission's rules.

   The knowing and willful making of any false statement, or the concealment
   of any material fact, in reply to this citation is punishable by fine or
   imprisonment under 18 U.S.C. S 1001.

   Thank you in advance for your anticipated cooperation.

   Sincerely,

   FEDERAL COMMUNICATIONS COMMISSION

   Luther Bolden

   Resident Agent, Norfolk Office

   South Central Region

   Enforcement Bureau

   See 47 C.F.R. S 1.80(b)(3).

   47 U.S.C. S 503(b)(5).

   2

                       FEDERAL COMMUNICATIONS COMMISSION

                             WASHINGTON, D.C. 20554