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RadioShack poised to close 500 stores nationwide, Wall Street Journal says

Published: February 10, 2014, 10:59 am, by Rich Laden

The Wall Street Journal, citing “people familiar with the matter,” reported last week that RadioShack is planning to close about 500 of its 4,300 stores in the coming months. According to the Journal: “The Fort Worth, Texas, retail chain has been working on transforming its image from an old-school electronics store into a destination for shoppers looking for entertainment gadgets, like headphones and smart phone cases. In October, RadioShack secured $835 million in loans to refinance about $625 million of debt. Those funds, from a group led by GE Capital, also freed up cash for RadioShack’s overhaul. The retailer has struggled to reverse a string of losses deepened by a sales strategy focused around smart phones, which failed to improve revenue over the past two years.”

Would any RadioShack stores in Colorado Springs be on the chopping block? Possibly. Morningstar Credit Ratings, a subsidiary of Morningstar Inc., an investment research firm, compiled a list of 136 potential RadioShack stores around the country that could be closing based, in part, on the stores’ location and the fact their leases might be expiring. Included on Morningstar’s list of potential RadioShack closings: A store in the Westwind Marketplace shopping center, at Garden of the Gods Road and Centennial Boulevard, in Colorado Springs.