Circuit City Closing Stores

Financial Crisis Job Cuts The electronics retailer plans to close 20% of its stores including two in Alabama.

by Associated Press

Published: Mon, November 03, 2008 - 9:14 am CST Last Updated: Mon, November 03, 2008 - 12:44 pm CST

RICHMOND, Va. (AP) - In an effort to make itself profitable
again, Circuit City says it's closing about 20 percent of its U.S.
stores, including two in Alabama.
The affected stores are in Anniston and Trussville.
The electronics retailer says the 155 stores to be shut down
will not open tomorrow, but on Wednesday they'll begin store
closing sales.
The Richmond, Virginia-based company has been operating more
than 700 stores in 55 markets across the country. The closings will
prompt the layoff of about 17 percent of Circuit City's U.S. work
force. The company is also cutting plans for store openings.
Circuit City has had only one profitable quarter in the past
year. Its stores have seen a significant decline in traffic as they
face heightened competition from Best Buy and others. The company
says its vendors have taken restrictive actions and that the
"current mix of terms and credit availability is becoming
unmanageable."

(Copyright 2008 by The Associated Press. All Rights Reserved.)

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RNuts Says:

Mon, Nov 03, 2008 at 10:57 am

I quit shopping at our local Circuit City when Best Buy opened up. The Best Buy store just feels more inviting to me with it’s larger store with more to choose from. I have also heard that Circuit City pressures their sales people more than other retailers.