As reported on our sister site, CheapenGadget.com, Circuit City today filed for Chapter 11 bankruptcy protection.
Circuit City is an exclusive retail partner with Verizon Wireless. The deal has been criticised by many, as it replaced Circuit City’s multi-carrier sales efforts (which competitor Best Buy has profited from using). It is not clear at this time if Circuit City plans to re-structure, or sell off all remaining assets.
Also not clear, is if Circuit City gift cards are valid or have been voided. We urge gift card holders to spend them today, if possible.
Well, I hardly think Verizon is single-handedly responsible for Circuit City’s bankruptcy filing, but could it be portentious for Verizon’s future I wonder? New smartphones are hatching like chickens all over the wireless landscape with nary a peep from VZW on anything to date.
Circuit City blows and so does Verizon. Damn Natzies!
We didn’t imply that Circuit City’s downfall was due to Verizon. However, I don’t think anyone would disagree with the focus on that unsuccessful partnership.
Going exclusive to any one carrier is always a bad idea. I heard that is the reason why RadioShack dropped Verizon and went to AT&T, because Verizon wanted to be the exclusive carrier.
I’m sure there are lots of other factors contributing to the bankruptcy of Circuit City.
Let’s not lose sight of the fact that Circuit City has been getting hammered for years. Best Buy offers better pricing, selection and service in a physical store and Internet stores offer infinite selection and better prices. This is just another example of a bad company that can’t survive a downturn.
jmanley
I for one stopped buying at Circuit city because of their idiot managers who would rather lose a bonafide sale because he didn’t want to price match a TV… exact same model because sears wouldn’t have the TV until the next day. Thanks Circuit city.. I have now purchased 3 lcd TVs from Sears… close to 5k…. dopes.
Another reason I refused to buy there.. I will not buy a product if it has a Rebate on it. I feel rebates are the biggest scam going.
No stores in my area are closing and I’m glad because in this market, CC customer services is years ahead of BB. It seems like every time I go into BB I either cant find help or they just dont care. From what I have read, they are only filing for banruptcy protection and will continue to operate but will close 155 unprofitable stores. I also read they secured a 1.1 billion dollar loan to continus operating
They got what they had coming! 15 foot receipts for a 5 dollar rebate. Screwing their employee’s! Best Buy all the way!
The reason is simple Mad magazine dissed em a few months ago.. It was so bad its not funny any more.. lol naw thats not why but a few rogue mid level execs tried to ban Mad from Circuit City Mad called em Sucker City lol but top management put them in their place