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dmbsituation
November 3rd, 2008, 11:27am
http://news.yahoo.com/s/ap/20081103/ap_on_bi_ge/circuit_city_store_closings
Circuit City Stores Inc. said Monday it is pulling the plug on about 20 percent of its U.S. stores in an effort to return the nation's No. 2 consumer electronics retailer to profitability.

The Richmond, Va.-based company said it will shutter 155 of its more than 700 stores in 55 markets, including Phoenix and Atlanta, by Dec. 31, laying off about 17 percent of its domestic work force. Circuit City also said it will further reduce new store openings and plans to work with landlords to renegotiate leases, lower rent or terminate agreements.

The company said it expects the stores it is shuttering, which generated about $1.4 billion in net sales in fiscal 2008, will not open on Tuesday and store closing sales will begin on Wednesday.

The NYSE said Circuit City shares had an average closing price of less than $1 over 30 consecutive trading days as of Oct. 22, falling short of the exchange's requirement. Its shares have closed under a dollar in trading since Sept. 30, when they closed at 76 cents. Shares have traded between 17 cents and $8.24 in the last year.

In order to regain compliance with the NYSE, Circuit City's common stock share price and the average share price over a consecutive 30-trading-day period must both exceed $1 within six months following receipt of the notice.

jafarhie
November 3rd, 2008, 11:30am
Spend those gift cards today if possible. I'm hearing that some stores will start liquidation sales as soon as Wednesday. I know when Compusa closed in my area and went into liquidation gift cards weren't accepted. With CC stock plummeting I wouldn't be surprised if they closed more stores. I have a $100 GC that I'm going to redeem today.

eyzofblu63
November 3rd, 2008, 11:43am
Here's a list of the stores closing.....none in my area so far.

http://consumerist.com/5074854/complete-list-of-closing-circuit-city-stores

Hhhyyyddd
November 3rd, 2008, 4:32pm
My local store is closing and I'm not surprised. They're pretty clueless in there and the store is old and rather small by today's standards. Maybe we can get some good deals.

msbabedoll
November 3rd, 2008, 4:38pm
I see our store on the list. Too bad!

suelee000
November 3rd, 2008, 6:49pm
When you fire your best sales staff, it shouldn't come as a shock that sales tank.

dmbsituation
November 4th, 2008, 10:18am
When you fire your best sales staff, it shouldn't come as a shock that sales tank.

If only that was what happened during those layoffs. Being a former Store Director for Circuit City, I was there when the layoffs occurred. It wasn't the best in sales. It was typically the most tenured, which were often the laziest, but knew how to do just enough to not be fired.

KyPegasus
November 4th, 2008, 3:42pm
Yea, my son just found out he is out of job in 4 weeks. Most of the stores closing are going to have major sales starting tomorrow.