RadioShack Files for Bankruptcy
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Carmine Salvatore/iStock Editorial/Thinkstock(NEW YORK) — RadioShack filed for Chapter 11 bankruptcy on Thursday.
In a filing to the Securities and Exchange Commission late last year, RadioShack said that “there can be no asurance that our efforts to further restructure our debt or operations will be successful.” The company further noted that in that scenario, they could be forced to seek bankruptcy.
On Thursday, RadioShack announced that it had reached agreements with General Wireless Inc. to sell between 1,500 and 2,400 of its stores. The company aims to streamline the sale through its bankruptcy filing.
General Wireless, further, has agreed in principle with Sprint to establish a ‘”store within a store’ retail presence.”
RadioShack currently owns 4,000 stores in the U.S. That figure does not include over 1,000 franchise stores in 25 countries, stores operated by its Mexican subsidiary, or its Asia operations.
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