Tuesday, November 11, 2008

Circuit City Files For Bankruptcy

Posted by ScuttleMonkey on Monday November 10, @01:11PM

from the i-bet-their-execs-got-cashed-out dept.
BusinessesThe Almighty Buck
WillDraven is just one of many who writes to tell us that Circuit City, the United States' 2nd largest consumer electronics retailer, has filed for bankruptcy under chapter 11. This news comes as no surprise as the company has been in financial trouble, recently announcing that it will be closing over one fifth of its stores and laying off 17% of its U.S. employees in the process. 'Larger rival Best Buy, which is based in Minneapolis, has said it might take over stores that distressed rivals close. Yet a flood of discounted merchandise from liquidating Circuit City stores could hurt Best Buy during this holiday shopping season, said Jefferies & Co analyst Dan Binder.'"

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