Circuit City to Close 155 Stores?

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News Posted: Sun, Nov 2 2008 11:07 PM

A number of rumors were circulating around the web on Sunday, with more than one site saying that on Monday Circuit City will be announcing the closure of 155 stores around the nation.


It's just another bad news item for the struggling retailer, which according to a form filed with the SEC Thursday, has been warned by the NYSE that its stock was "below criteria" because the average closing price was less than $1 per share for the 30 previous days.


With that warning, Circuit City has six months to get the stock's price up. As long as the average 30-day closing price is more than $1 sometime during the next six months, it will continue to be listed on the NYSE.


On Friday, Circuit City stock closed at $0.26 a share.



As early as Oct. 20th, the Wall Street Journal wrote that Circuit City was considering closing 150 stores.


On Sunday, The Consumerist posted a scan of a letter purportedly received by a Circuit City employee about the closures. Click the link to see the scan.



Meanwhile, enGadget posted an email from a Circuit City employee:
"I'm an employee @ Circuit City and today there was a mandatory store meeting for the holiday season and to welcome all the seasonal employees. There was also some tension as rumors were rampant the days before that we were all going to find out we were out of a job today. Luckily, but still somehow unfortunately, I'm still an employee of Circuit City. The same can't be said for the employees of the 155 stores that are closing, possibly even before black Friday. The list of stores that are shutting down will be made public tomorrow. The idea behind closing the stores before Black Friday is to transfer product from the failing stores to the stronger ones to save some money."
Given that earlier Gizmodo said all Sony delivery trucks turned around last week "among worries that Circuit City couldn't pay for the shipments," all this sounds very plausible. Death watch time? Or for some, bargain watch time? We'll see on Monday.



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Hmmm sounds familar......Boy I wonder what Mark Wattles will do now that CC is in the $$$$ toilet. I bet Ultimate Electronics is saying deja-vu. Hey you dont think that Mark "PLANED" this do you????????????

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Thats just sad news. I hate to see things like this around the holiday seasonSad

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I guess I am biased cuz I work at BBY but I guess considering that this has been ongoing for the past 2 yrs and NOTHING has changed on their ends (financial policies, laying off some BIG corp execs rather than the guys working in retail stores, or anything for that matter).

Essentially it just seems they are saying "hmmph....it'll turn around, we'll just wait it out"

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 Thats not a good thing. They just closed s Comp USAhere in Greenville SC this year and now talking about closing Circuit City.Im still reeling from Copmp USA that was my favorite! What next Best Buy. The worst of all peope loosing their jobs. Hope they can work things out!

 

 

 

 

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digitaldd replied on Mon, Nov 3 2008 10:36 AM

I'm waiting on the firesale. and salivating. of course they'll probably  broker a deal with someone to buy all their decent inventory and leave the crap for the customers.

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amdcrankitup:

 Thats not a good thing. They just closed s Comp USAhere in Greenville SC this year and now talking about closing Circuit City.Im still reeling from Copmp USA that was my favorite! What next Best Buy. The worst of all peope loosing their jobs. Hope they can work things out!

Compusa went bankrupt. They are all closed. The company that owns TigerDirect bought them out, but I think they pretty much only got the name. They due have a decent online store now though.

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digitaldd:

I'm waiting on the firesale. and salivating. of course they'll probably  broker a deal with someone to buy all their decent inventory and leave the crap for the customers.

 

 Here,s your list of stores so you can go to the fire sale! Link

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

 

 

 

 

 

 

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amdcrankitup:

 Here,s your list of stores so you can go to the fire sale! Link

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

I'm happy mine is staying open.

 

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bob_on_the_cob:
I'm happy mine is staying open.
 

 

The one here in Greenville SC is not on the list either not that I would,nt  mind going to a fire sale but at least the store is safe for now!

 

 

 

 

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None in my state!

Though, and I hate to say it, I wouldn't mind if there was one reasonably close nearby shutting down so that I could nab some deals.

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Dude, mine is closing!!!! How terrible!!!! Good thing I've got a Best Buy in the same mall huh

P.S. Hey Ice...any idea why you guys stopped carrying the Gateway and Toshiba gaming laptops already? They were brand new practically and already discontinued.

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The 2 main ones here in NYC are staying open, thus maybe the only 3 CC stores I have ever been in are all going to stay open. amazingly one of these stores is right next door to a Best Buy store. and that is staying open..

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digitaldd:

 amazingly one of these stores is right next door to a Best Buy store. and that is staying open..

 

Yeah mine are really close too.

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Theres a PDF spcifiy which oens will close. I forgot where I found it. I remember MA have no stores closing!

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Savage Animal:
P.S. Hey Ice...any idea why you guys stopped carrying the Gateway and Toshiba gaming laptops already? They were brand new practically and already discontinued.

Gaming laptops tend to only stay in our inventory for ~2-3 months at most. You can rest assured that come Thanksgiving time we'll get the new Qosmios in I am sure.

Now that Gateway is fully being overhauled by Acer I do not know whats in store for them....I can tell you though that the new desktops are pretty much terrible (especially now that they have the crapware software bundled). Specs look good but they run like crap; I cannot imagine that if there was a notebook series they would be much better.

 

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 Im glad the one near me isnt closing there having a big sale this weekend and last time I got a WD 320g HD for $42.00 which was good to me!

 

 

 

 

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Hi there. With CompUSA gone, if Circuit City closes down that leaves Best Buy as the main player. I don't believe that bodes well for prices since competition is what keeps prices from going up, especially if there is only 1 player in town. I believe in supporting stores that are not doing so well in order to keep the playing field fairly level, even if I have to pay a few extra dollars sometimes; cheaper ain't always better if the experience is less that enjoyable and the service is rough. Even though I'm a man I tend to enjoy the shopping experience and I rate stores not just by price but how they make me feel as a customer. I still remember Best Buy's "customer snub" a couple of years ago, where they stated there were certain types that they would rather not visit their stores. Could be my height, long hair, beard, and clothes (general mountain man look) but it seems that Circuit City does more to make me feel like my business is appreciated, whereas I am generally ignored at Best Buy and have to hunt down the help. CC has also treated me much better with returns that BBY saving me time & aggravation.Of course, I am only dealing with 1 BBY store; the situation may be different at others. One other thing that turned me around toward CC was when I discovered the "Outlet" section on their web site; I have pulled some really good deals from there. Just puttin' my 3 cents worth in, for whatever it's worth (probably .02.)

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