"It was complete disbelief," he told CNN. "It was definitely a great gesture. I was completely shocked."
A few days after the initial call a woman delivered a check to the store and Kennedy began notifying the 194 customers with layaway accounts their balances had been paid.
"Some individuals were just brought to tears when they were notified about it," Kennedy said.
This was the third consecutive year the anonymous Santa B had offered to pay off the layaway deposits at a Pennsylvania Walmart, a company spokeswoman told CNBC.
"When customers quietly pay off others' layaway items, we're reminded how good people can be," Walmart said in a statement.
Kennedy said several of the items paid for by Santa B were Christmas presents, including an Xbox customer Sandy Terry bought for her son, but feared she would be unable to pay off due to medical bills.
"I'm just so thankful that he's going to get it this year," she said. "Thank you so much to [the person who] paid it off for me."
Santa B's identity remains completely shrouded in mystery apart from the fact all the checks are signed by a man, according to the Walmart spokeswoman.
"I would just be curious as to what made them choose us, and let them know how grateful we are for the gesture, and how much it meant to the customers that we have been able to serve," Kennedy said.