You are omitting that the 10-Q is showing - as of Nov 3, 2018 - Sears had $ 6.677 B in Assets and $ 7.393 B in Liabilities. The $ 5.2 B is added to the $ 6.677 B in Assets which equals: $ 11.877 B in Assets $ 7.393 B in Liabilities Or you could just reduce the Liabilities by $ 1.7 B for the Credit Bid and not add it to the Assets: $ 5.2 B - $ 1.7 B = $ 3.5 B + $ 6.677 B = $ 10.117 B in Assets $ 5.693 B in Liabilities (minus the $ 1.7 B) This reads to me like Assets are significantly higher than Liabilities. https://www.sec.gov/Archives/edgar/data/1310067/000131006718000029/shldq32018.htm