Circuit City Closes All U.S. Stores
Bankrupt Circuit City Stores Inc., the country’s second-largest electronics store, said Friday it is going out of business and will close its 567 stores in the United States and slash 30,000 jobs, according to wire reports.
The company had sought a buyer or was in the process of trying to refinance its debt. Ricardo Salinas Pliego — a Mexican billionaire — as well as the Golden Gate Capital private equity firm had expressed interest in buying the company. Necessary funding couldn’t be secured though.
The chain’s 765 Canadian stores and dealer outlets remained open, though it was unclear what would happen to them.
Some stores were scheduled to begin close-out sales on Saturday.
As of Aug. 31, Circuit City claimed to have $3.4 billion in assets and $2.32 billion in liabilities.