NEW YORK, Oct. 6 /CNW/ - Pershing Square Capital Management, L.P. ("Pershing Square") announced today that funds advised by it acquired 673,500 common shares of Sears Canada Inc. ("Sears Canada") on October 3, 2008 on the Toronto Stock Exchange ("TSX") at a price of Cdn$16.78 per share. This purchase represents approximately 0.626% of the outstanding shares of Sears Canada. Taking into account this purchase, previous purchases made on the TSX and the over the counter market and prior holdings, the Pershing Square funds own a total of 18,630,185 common shares, or approximately 17.3% of the outstanding shares of Sears Canada.

The common shares were acquired for investment purposes. In the future, Pershing Square or funds managed by it may acquire or dispose of common shares of Sears Canada depending upon a number of factors including, among others, strategic objectives, general market and economic conditions, the financial condition, results of operations and prospects of Sears Canada, and other investment and business opportunities available to it and the funds which it advises.