Update: Circuit City liquidates assets, closing 567 stores

Update: Circuit City has posted a statement on their web site here mentioning that all the store chains liquidated and closed between now and March 2009.
Circuit City also posted the number of staff it expects to be let go:

"Circuit City would like to thank all of the customers who have shopped with us over the past 60 years. Unfortunately, we announced on January 16, 2009, that we are going out of business."

Are you also shutting down your operations in Canada?

  • No, our Canadian operations will continue. They are not affected by the liquidation of Circuit City's U.S. operations. The Canadian operations employ approximately 3,000 associates.

How many people are losing their jobs as a result of this action?
  • Circuit City employs approximately 34,000 associates in the U.S.

Will Circuit City offer PC services and repairs at liquidation stores during the closing sale?
  • Services already underway at the liquidation stores will be completed promptly, but no additional jobs will be accepted at these stores.

As of this morning Circuit City has begun liquidation of all merchandise in all of its 567 stores nationwide. The chain has already closed 155 stores across the U.S. in November and December alone, and continues to plan a closure of more stores in the months to come.

The company previous filed for bankruptcy protection back in November just before holiday season hit, noticing a short coming of customers due to the economic down fall.

After major movie chain Blockbuster placed a bid of $1 billion to takeover to create 9,300 stores to sell electronic gadgets and rent movies, but later withdrew their bid in July after the economic conditions went downhill, the company was authorized by U.S. Bankruptcy Judge Kevin Huennekens to liquidate all stores if a buyout was not achieved.

Circuit City currently has $3.4 billion in assets nationwide, and $2.32 billion in liabilities as of August 31.

Circuit City's web site currently displays "We're updating our site, with new products and special offers".

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