Kmart and Sears meet under the blue light, get all smoochy.

Sears, of course, is one of American retailing’s grande dames. Its catalogs once sold cars and complete houses, not to mention nearly everything one could put into a house.

Kmart wasn’t the first discounter, but it was the first national discounter. It began in ’62, the same year as its now-archrivals Wal-Mart and Target. The first big-box discount stores were local indies and regional chains, based on the post-WWII Army surplus stores. S.S. Kresge, a Woolworth-esque variety chain that dated back to the late 19th century, gave the discount store a housewife-friendly brand image, then expanded nationally as quickly as possible.

Each was, at different times, America’s #1 retailer. The combined firm will now be only #3.