RadioShack to close 1,100 stores | Business
(USA TODAY) -- After reporting dismal fourth-quarter earnings, RadioShack said Tuesday that it would close about 1,100 poorly performing stores, roughly 20% of the electronic retailer's locations.
The store closings will leave about 4,000 locations in the U.S. The company has been struggling to revamp its stores for the past year.
Total net sales and operating revenues were $935.4 million in the fourth quarter, vs. $1,171.4 million last year, a 20% decline. Comparable store sales were down 19%, which the company blames on poor performance in its mobile phone business.
RadioShack stock (ticker: RSH) was down more than 20% in premarket trading.
"Even in this environment, we're continuing to make progress on the five pillars of our turnaround plan: repositioning the brand, revamping the product assortment, reinvigorating the stores, operational efficiency and financial flexibility," CEO Joseph C. Magnacca said in a statement.
The company first announced upcoming store closings last month.