View Mobile Site
  • Bookmark and Share

Header

MOST POPULAR ARTICLES

RadioShack in Cumming one of 200 closing nationwide

Store has been open since 1991

 
POSTED: April 12, 2017 3:00 a.m.

Lakeland Plaza’s RadioShack will soon close, making the Cumming location one of about 200 of the electronics stores to close its doors. Prior to being operated as a company owned store, it was a local Radio Shack franchise location owned by L and S Electronics.  

In early March, General Wireless Operations Inc., which operates RadioShack, “filed voluntary petitions under Chapter 11 in the United States Bankruptcy Court,” according to a March 8 news release.

While most stores and dealer locations across the country will at least temporarily remain open, the chain is “closing approximately 200 stores and evaluating options on the remaining 1,300,” the release said. “The company and its advisors are currently exploring all available strategic alternatives to maximize value for creditors, including the possibility of keeping stores open on an ongoing basis.”

Founded in 1921, RadioShack has locations nationwide, selling everything from batteries to cell phones to drones.

While the chain began an ongoing financial decline in 2004, it wasn’t until 2015 that the financial trouble came to a head.

In February 2015, RadioShack filed for bankruptcy, though was saved by General Wireless, an affiliate of Standard General, a U.S. hedge fund that specializes in saving failing corporations.

As part of the deal, in which General Wireless gained ownership of RadioShack’s 1,700 stores, the company partnered with Sprint to create miniature stores within RadioShack stores.

However, the Sprint partnership did not quite succeed as expected, RadioShack’s President and CEO, Dene Rogers, said in the March 8 news release.

“Since emerging from bankruptcy two years ago as a privately-owned company, our team has made progress in stabilizing operations and achieving profitability in the retail business, while our partner Sprint managed the mobility business,” he said. “For a number of reasons, most notably the surprisingly poor performance of mobility sales, especially over recent months, we have concluded that the Chapter 11 process represents the best path forward for the Company.

“We will continue to work with our advisors and stakeholders to preserve as many jobs as possible while maximizing value for our creditors.”

The Cumming location will close April 30.

COMMENTS

  • Bookmark and Share

1 comment
hamkc: April 12, 2017 6:31 a.m.

Your research team needs to check the facts before publishing. Radio Shack was open in Cumming in the 1980's, next to where Publix is today. It moved twice over the years, eventually ending up in its present location.

This was a franchise store up until the early 2000's, with at least two different owners. Why do I know? I worked there during my college years.

Editors Note: Thanks for bringing that to our attention. I've updated the story to include the previous history as a franchise location. JD



Login to post a comment

http://www.forsythnews.com/ encourages readers to interact with one another. We will not edit your comments, but we reserve the right to delete any inappropriate responses.

To report offensive or inappropriate comments, contact our editor.

These comments are from readers of http://www.forsythnews.com/ and do not necessarily represent the views of The Newspaper or Morris Multimedia.
You must be logged in to post comments. Login ›

 


Contents of this site are © Copyright 2017 Forsyth News, Cumming, GA. All rights reserved. Privacy policy and Terms of service

Powered by
Morris Technology
Please wait ...