Circuit City BANKRUPT

[Enigma]

Aw man, my friend works at Circuit City. Although, I'm not sure how the US company going under affects the Canadian places. Basically, Circuit City bought up all the Radio Shacks in Canada and renamed them The Source by Circuit City.

There goes my access to cheap, discounted electronics.

PS: Bob, Best Buy doesn't work on commission here in Canada, is that different in the US?

I'm sure that since CC is the parent company, if it goes under, it takes the rest with it? Something like what happened with Kmart. Except they closed down all of the Canadian stores and stayed in the U.S.

[Col. Crackpot]

IIRC Theski managed a Tweeter. Haven't seen him post here in a dog's age.

[General Zod]

IIRC Theski managed a Tweeter. Haven't seen him post here in a dog's age.

Wasn't Theski banned?

[Sea Skimmer]

Honestly, even without the credit crisis, I can’t see how Circuit City remained in business this long. They were greatly overpriced like any electronics store is, but they always remained highly specialized pretty much only selling stuff that costs over 100 bucks. That’s not a very viable business model when more and more people realize they can buy stuff on the internet.

[Ma Deuce]

Wasn't Theski banned?

No he wasn't, he just simply stopped posting in late-2006: Yes, some of his political views were unpopular here, but AFAIK he never actually crossed the line. You may be thinking of Tharkun.

[montypython]

Some people I know will be rushing to use their CC gift cards while they can. I was surprised to find out that CompUSA bit the dust already, but considering economic conditions it seems quite a bit of fallout will be coming before thing settle down.

[General Zod]

Wasn't Theski banned?

No he wasn't, he just simply stopped posting in late-2006: Yes, some of his political views were unpopular here, but AFAIK he never actually crossed the line. You may be thinking of Tharkun.

Probably. The names are similar so I wasn't sure which one it was that had been banned.

[Crossroads Inc.]

So with Circut City offically Toast, I am curious what the consensus on BestBuy is.... Will it pick up the spare bussiness and expand? Or are they the next to go down the tubes?

[Jaepheth]

Best Buy does not have commissions here in the US. I would say they have "hidden commissions" though. In the stores there's non-monetary prizes for the highest sellers and competition between departments and employees. And then once a year a bonus check is cut to the employees of the store whose value depends on the store's performance as a whole.

[KrauserKrauser]

As far as financial statistics go Best Buy as it is still reporting as operating at a profit is not in danger of folding int he forseeable future. While they have a large amount of debt, they are least maintaining a positive cash flow.

If they reduce expansion to shore up costs they should be able to weather the storm well enough.

Circuit City had not been making money for quite some time ahead of this bankruptcy. Operating at a loss for quarter after quarter usually results in this type of action being taken.

If there is another company that has shown the same trend in stock values at least, I would guess that Sirius/XM might have an announcement to make in teh near future as they continue their nose dive to the bottom.