RadioShack to Shutter As Many As 1,100 Stores
RadioShack reported its fourth quarter earnings today, and revealed that it plans to close twice as many stores as initially forecast. The company said slow foot traffic, heavy promotions, and weak smartphone sales during the holiday season led to a quarterly loss of $191.4 million. The company had warned it would close about 500 stores to cut costs, but has now doubled that number to 1,100. The closures will leave RadioShack with about 4,000 stores still open in the U.S. RadioShack is in the process of updating both its image and its sales strategy with a focus on electronic entertainment devices. It sells devices from AT&T, Sprint, and Verizon Wireless.
Sprint May Scoop Up Half of RadioShack's Stores
RadioShack and its creditors might sell half the company's stores to Sprint and close the remaining locations, reports Bloomberg. Sources familiar with the companies' plans suggest Sprint would rebrand the RadioShack stores, which would cease to exist as stand-alone electronics stores.
RadioShack Declares Bankruptcy, to Sell Stores to Sprint
RadioShack today filed for Chapter 11 bankruptcy protection and signed an agreement to sell approximately 1,750 of its stores to Sprint. Under the terms of RadioShack's Chapter 11 filing, RadioShack will sell the stores to Sprint and General Wireless, a subsidiary of one of RadioShack's major investors.
Judge Approves Sale of RadioShack Stores
A U.S. judge has given RadioShack permission to sell its 1,740 stores to Standard General, a hedge fund that plans to operate the stores with Sprint.
RadioShack Weighing Bankruptcy
RadioShack is considering whether or not to file for Chapter 11 bankruptcy protection as its cash reserves dwindle. The company ended its most recent quarter with just $30.5 million in cash on hand, with debts totaling $658 million.
Loss of turnkey
Good place for batteries