Bankruptcy

Circuit City Announces Store Closures

By J. Michael McBride

Circuit City announced Monday that it will close 155 of its stores, or roughly 20%. The company will also seek to limit future store openings and renegotiate a portion of its leases. The current flailing economy and a period of flagging business has led the store to take such measures in an effort to conserve resources and assets. Over the past year, Circuit City (CC) stock prices have steadily fallen from a high of $8.24 to a closing price of $0.36 on Monday. “The company says it will continue business without interruption while it works with lenders and advisors to determine ‘the most appropriate restructuring alternatives.’”

Chris

Here is the link to this article:
http://www.bizjournals.com/pacific/stories/2008/11/03/daily5.html

Full post as published by Texas Lawyer Blog on November 03, 2008 (boomark / email).