Kmart (sometimes stylized as K mart or kmart) is an American chain of discount department stores headquartered in Hoffman Estates, Illinois, United States. The chain purchased Sears for $11 billion in 2005, forming a new corporation under the name Sears Holdings Corporation. The company was founded in 1962 and is the third largest discount store chain in the world, behind Walmart and Target, with stores in the United States, Puerto Rico, the U.S. Virgin Islands, and Guam (which houses the world's largest Kmart). It also used to operate stores in Canada, Mexico, and Eastern Europe. , the company operated a total of 978 Kmart stores. In 2013 it had operated 1,221 in 49 states, Guam, Puerto Rico, and the U.S. Virgin Islands, including 1,196 discount stores, averaging , and 25 Super Centers, averaging .