February 24th, 2009 by admin
Ritz Camera is the latest retailer to file Chapter 11 Bankruptcy protection. Papers were filed Sunday February 22, 2009. The company states that the digital photography raise in popularity has been a big obstacle for them. Ritz Camera also operates Boater's World retail stores which are taking a hit in the weak economy.
Chapter 11 is the 'reorganization' of a business that could work and the company emerges from it stronger...or doesn't and the company is forced to close (Linens n Things).
While the return policy hasn't changed due to the filing, you might want to ask prior to making any 'large' purchases at the chain.
January 17th, 2009 by admin
It's another sad, sad day in retail. Circuit City had filed for Chapter 11 Bankruptcy last year, but could not survive and has to liquidate all inventory and close all US stores. This will leave less competition for Best Buy, CompUSA and discount department stores. Now is the time to pass by Circuit City each week to see how low the discounts go. Remember that most of the good stuff will be gone at 10 and 20% off.
November 21st, 2008 by admin
Everyone loves giving and receiving gift cards. In fact, gift cards are becoming quite popular. You will probably even find some great deals on gift cards right here on this website. But just a word of caution. With troubled economic times come store closings and bankruptcy. While most companies that plan store closings never file for bankruptcy protection, you just never know.
If a store is 'going out of business' you can bet that all gift cards are only worth the plastic they are made of. If a company is in Chapter 11 Bankruptcy, they still might have permission from the courts to sell and honor gift cards, but if they end up going into Chapter 7 (liquidation), they are void.
Return-Policy.info was sent a listing of retail companies that plan some trimming after the Holidays. Many of the stores appearing on the list have not been confirmed, but we have checked around and the list seems to be making its way around the net.
Bottom line is to just be careful and when you get a Gift Card, use it immediately. They still do make great gifts.
The List:
Circuit City - most recent 13 stores (150 total).
Ann Taylor- 117 stores nationwide are to be closed.
Lane Bryant, Fashion Bug ,and Catherine's to close 150 stores nationwide.
Eddie Bauer to close stores 27 stores and more after January.
Cache will close all stores.
Talbots closing down all stores.
J. Jill closing all stores.
GAP closing 85 stores.
Footlocker closing 140 stores more to close after January.
Wickes Furniture closing down.
Levitz closing down remaining stores.
Bombay closing remaining stores.
Zales closing down 82 stores and 105 after January.
Whitehall closing all stores.
Piercing Pagoda closing all stores.
Disney closing 98 stores and will close more after January.
Home Depot closing 15 stores 1 in NJ (New Brunswick).
Macys to close 9 stores after January.
Linens and Things closing all stores.
Movie Galley Closing all stores.
Pacific Sunware closing stores.
Pep Boys Closing 33 stores.
Sprint/ Nextel closing 133 stores.
JC Penney closing a number of stores after January.
Ethan Allen closing down 12 stores.
Wilson Leather closing down all stores.
Sharper Image closing down all stores.
K B Toys closing 356 stores.
Lowes to close down some stores (will become product supplier brand).
Dillard's to close some stores.
November 10th, 2008 by admin
Ailing electronics retailer Circuit City filed for Chapter 11 Bankruptcy Protection on November 10, 2008. Executives released the news on November 5th that they would be closing 155 stores across the US. Under the Chapter 11 filing, they are going to keep the remaining stores open in hopes to make it out of bankruptcy.
Circuit City is currently the 'No. 2' electronics retail chain behind Best Buy. They have been hit hard by the recent economic downturn and competition from Walmart and other large discount stores. Another bad move was when they axed 3,000 of it's higher paid sales staff. They replaced them with lower paid workers with less experience and knowledge of the items in the store. Many customers don't feel that comfortable buying a $2,000 piece of equipment from a 'kid'.
Circuit City will be having liquidation sales in the 155 stores pegged for closing only. Chapter 11 is only a 'reorganization' plan of bankruptcy that is usually the first choice in trying to get a business back on it's feet. While many stores made it out of Chapter 11 in the past, it doesn't seem that way lately. There is always a possibility that they will not be able to turn around the business and might liquidate and dissolve the chain. That's always the last option.
Circuit City will be asking the bankruptcy courts to allow them to honor and sell Gift Cards and will also ask them to continue to take credit card payments. More than likely this will be approved and 'us' the 'consumer' will not really notice any difference.
While you might be shopping at Circuit City during their Chapter 11 process...you might want to remember a few things:
-A Circuit City 'warranty' could be voided if they decide to close the chain.
-Gift Cards more than likely will be honored, but if they liquidate the chain, they will be useless.
-Returns will still be honored, with the exception of any store offering 'liquidation' sales.
-Don't apply for the Circuit City credit card right now, even if they offer to sign you up. While most retail credit cards are not owned by the chain itself...accounts could be sold and interest rates could be impacted.
