Kmart does accept secure print-at-home coupons.

Kmart's Print-at-Home Internet Coupon Acceptance Policy:
Effective March 1, 2009 , Kmart will accept industry-standard, secure
print-at-home coupons. This will provide additional benefits and
incentives to our customers to help them save their money at Kmart.

Due to the continuing shift in utilizing online facilities, allowing
the redemption of print at home coupons is becoming a larger more
important aspect to the budget wise customer. But there is a significant
risk in fraudulent alerted coupons. It is critical that the following
guidelines be understood and followed to identify coupons that will not
be accepted by the Kmart register operators.

Kmart can only accept print-at-home coupons if they scan properly at
checkout.
Legitimate printable coupons are delivered using special software
designed to print a properly rendered barcode on the coupon and limit
the number of coupons printed. If the coupon dos not scan properly it
cannot be accepted

Kmart will not accept coupons for more than about 75% of a product's
value.
For example, a $2 off coupon for a product that sells for $2.25 is
unlikely to be legitimate. If there are exceptions, Kmart is usually
provided advance notice by the manufacturer.

Coupons will be rejected if they appear distorted or blurry, altered
in any way, or are obvious duplicates.

Kmart will not accept " FREE product" (no purchase required)
print-at-home coupons.
It is currently an industry practice not to produce print-at-home
manufacturer's coupons for free product. Buy-one-get-one-free coupons
and other values that have a purchase requirement are acceptable.

We appreciate your business and value you as a Sears Holdings customer.
We certainly hope you will continue to make Sears Holdings your choice
for quality and value.

Sincerely,
Jessica C.
Retail Customer Care
Sears Holdings Corporation