Retailer, CicuitCity, announced that it will soon close down 155 stores in the US to avoid the company going bankrupt in eth is time of financial crunch.
Due to stores’ closures, hundreds of employees(17% to be precise) will be axed, giving a further push to the growing act of axing employees occurring all over the world right now.
As reported by WallStreet Journal, this is to avoid Channel 11 Bankruptcy, further adding to injury that it hasn’t made any significant profit for straight 6 quarters.. And further adding to it CircuitCity will look into more strategic planning of reducing costs for the further 566 locations it will be left with.
Beginning November 5th, the company will liquidate inventory and shut down 155 US stores listed here (PDF).
We deeply regret the impact today’s announcement will have on our associates, our guests and the communities where these stores are located, said Circuit City CEO James Marcum in a statement. We truly are grateful to each of our associates for their many contributions to the company.
[via TheRegister]
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[...] a week after announcing that it would be closing around 155 stores in USA to cut costs, Circuit City has now gone bust completely. Looks like they finally realized that closing stores [...]