RadioShack to close 1,100 stores
Beset with financial woes following poor holiday sales, RadioShack Corp. announced on Tuesday that it expects to close 1,100 of its U.S. stores, about 20 percent of its total retail outlets.
RadioShack, which operates five stores in Berkshire County, did not have a list of stores slated for closure on its website on Tuesday.
According to the company, stores will be closed based on location, area demographics, lease life, and financial performance. The proposed store closure program is also subject to the consent of the chain’s lenders.
Representatives of RadioShack’s stores in Great Barrington, Lanesborough, Lenox, North Adams and Pittsfield all declined comment on the chain’s situation referring all questions to RadioShack’s corporate communications in Fort Worth, Texas. A call to corporate communications seeking comment was not returned.
Sales at RadioShack stores that have been open for at least a year fell 19 percent in the last quarter of 2013, which included the holiday shopping period, according to CNN Money. The company attributes the drop-off to traffic declines and weak sales of mobile devices, including cellphones.
The company’s total net sales and operating revenue in the fourth quarter were $935.4 million, compared to $1,171.4 million for the same time period in 2012.