RadioShack Kills Plans to Close 1,100 Stores

Retail

Published: May 8, 2014 7:16 pm

Last Updated: May 9, 2014 6:33 am

RadioShack Corp. (NYSE: RSH) has backed away from plans, announced in March, to close 1,100 stores. Two of the retailers’ large creditors refused to support the plan. The cutbacks will be limited to only 200 stores.

In an SEC filing, the company reported:

RadioShack Corporation (the “Company”) previously announced that it was seeking consent from its lenders under the 2018 Credit Agreement and 2018 Term Loan to pursue a program to close up to 1,100 stores. The terms on which the lenders are currently willing to provide this consent are not acceptable to the Company. While the Company may continue to have discussions with its lenders regarding the proposed store closure program, the Company is continuing with a plan to close fewer stores and pursuing other cost reduction measures permitted under the existing terms of the 2018 Credit Agreement and 2018 Term Loan.

According to The Wall Street Journal, the lead lenders are Salus Capital Partners and GE Capital.

ALSO READ: Could RadioShack’s Stock Plunge to Zero?

Take Charge of Your Retirement In Just A Few Minutes (Sponsor)

Retirement planning doesn’t have to feel overwhelming. The key is finding expert guidance—and SmartAsset’s simple quiz makes it easier than ever for you to connect with a vetted financial advisor.

Here’s how it works:

Answer a Few Simple Questions. Tell us a bit about your goals and preferences—it only takes a few minutes!
Get Matched with Vetted Advisors Our smart tool matches you with up to three pre-screened, vetted advisors who serve your area and are held to a fiduciary standard to act in your best interests. Click here to begin
Choose Your Fit Review their profiles, schedule an introductory call (or meet in person), and select the advisor who feel is right for you.

Why wait? Start building the retirement you’ve always dreamed of. Click here to get started today!