RadioShack Reorg Clears First Court Hurdle
On Thursday, RadioShack received word that it’s Chapter 11 bankruptcy plan cleared a preliminary court review, allowing the company to move forward with its strategy to reorganize and save a small portion of the company.
According to the Wall Street Journal, that plan hinges largely on the independent CE retail community. In its outline, RadioShack explained that the reorganized company will be composed of online operations, that major network of independent dealers, and somewhere between “zero and 28” company-owned brick and mortar retail locations.
RadioShack entered chapter 11 back in March, marking the second time in two years that the company has filed for bankruptcy. Less than 30 company-owned stores remain in operation, which is down from more than 4,400 prior to its first bankruptcy filing in 2015.