RadioShack closing 187 more stores
11 March 2017
RadioShack announced that it is closing 187 stores this month, after filing its second Chapter 11 bankruptcy petition Wednesday. Once one of the largest consumer electronics retail outlets in the US, the company had already dropped the number of locations to less than 2,000.
In 2015, RadioShack filed its first bankruptcy reorganization petition. At the time, it ran 5,200 stores across the country. The company, based in Fort Worth, Texas, closed some 2,400 stores that year. Later, a joint venture of Sprint Wireless and hedge fund Standard General acquired RadioShack and operated over three-quarters of its remaining stores.
Some 1,850 employees will lose their jobs when the stores shut down on March 13.
Founded in 1921, Radio Shack was acquired by Tandy Corporation in 1963. In 1977, the TRS-80 microcomputer was marketed by RadioShack and became one of the first personal computers on the market—years before the IBM PC.
The announcement this week by RadioShack coincides with the release by Sears of its fourth quarter financials, revealing a loss of $607 million. According to Standard & Poor’s Global Market Intelligence, the retail firm, which owns Kmart, posted losses in all but two of the last 24 quarters. Over the last year, its revenues fell to $6.1 billion from $7.3 billion a year earlier. In January, the company announced the planned closure of 150 stores in February and March.
The office supply retailer Staples announced Thursday that will be closing 70 more stores, reporting a $548 million loss and a 3 percent drop in sales over the fourth quarter.
Over the last month, other retailers have announced store closures as well—Macy’s closing 68 stores with 10,000 layoffs and JC Penney closing 140…