>Circuit City files chapter 11.

6:27 AM

>

Struggling electronics chain Circuit City announced Monday that it has filed for chapter 11 bankruptcy.

Chapter 11 allows a company to hold off creditors while it attempts to restructure its finances. Circuit City said Monday that it has has negotiated a commitment for a $1.1 billion debtor-in-possession revolving credit facility to supplement its working capital.

Cnet

So we're not going to see the end of Circuit City quite yet. I do have a suggestion for them though to avoid these situations in the future - stop overpricing your electronics. If you haven't heard, our economy isn't too hot right now, and people can barely afford to pay regular priced items much less over priced ones.

You Might Also Like

0 comments