Report: RadioShack to Close 500 Stores

Company would not respond to Wall Street Journal report on Tuesday

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    NEWSLETTERS

    Radio Shack is seat to close hundreds of stores even as the Fort Worth-based company launches a campaign to update it's image. (Published Tuesday, Feb 4, 2014)

    Just days removed from positive publicity with a well-received Super Bowl ad, RadioShack got some negative news on Tuesday.

    The Wall Street Journal reported on its website that the Fort Worth-based retail chain will close approximately 500 stores in the coming months. The report cited "people familiar with the matter" as providing the information.
    RadioShack has about 4,500 stores - including more than 80 across North Texas.
    RadioShack's phone call ad that ran during Super Bowl XLVIII depicted iconic celebrities from the 80s returning to claim the store. They sptripped the store of all its old products. The commercial was part of RadioShack's re-branding efforts. 
    The company is opening 20 concept stores across the country, including one in Fort Worth's Sundance Square just blocks from the company's worldwide headquarters.
    The Journal's report comes just three days after the most recent store opening which happened in small Columbia, Tenn. The store wasn't new, but rather an old store moved to a new location with a new look.
    NBC 5 reached out to RadioShack to respond to the Journal's report.
    "RadioShack's policy is that the company does not comment on speculation or rumor," an emailed response from the company's media relations department stated.
    It's been a tough few years for RadioShack as the company has seen layoffs, quarterly losses and a change in top management staff, including the CEO. 
    On Monday, following the Super Bowl ad, the company's stock surged during early trading and finished the day up. But on Tuesday, the Journal's report sent the stock down 12 cents, or -4.84-percent.