Friday, January 16, 2009

Circuit City unplugs

To be fair, I can't take much delight in the news that Circuit City is closing its remaining stores. That's despite having a really bad customer service experience in one of their stores just after Christmas. Like, really bad. British standards of service bad. It was kind of curious, though, that a company which needed all the love and support it could get basically treated people trying to buy things as if they were irritants.

The company management has signaled that there's no way back for them:

"We are extremely disappointed by this outcome. The company had been in continuous negotiations regarding a going concern transaction. Regrettably for the more than 30,000 employees of Circuit City and our loyal customers, we were unable to reach an agreement with our creditors and lenders to structure a going-concern transaction in the limited timeframe available, and so this is the only possible path for our company," said James A. Marcum, vice chairman and acting president and chief executive officer for Circuit City Stores, Inc.

It's a sad ending but the loss of a second major competitor in just over a year will presumably make Best Buy feel a bit more confident about its future.