In a recent SEC filing, RadioShack said since its 10-K filing, it has experienced losses that continued to accelerate into the third quarter of fiscal 2015, primarily attributed to a prolonged downturn in its business. The company said its ability to generate cash from operations depends in large part on the level of demand for its products and services.

RadioShack said it continues to face an uncertain business environment and a number of fundamental challenges in its mobility business due to lack of availability of new devices launched during the period, low consumer demand for other handsets available in the market today, aggressive price competition on these products and intense wireless carrier marketing activities.

The retail business also faces the challenge of revamping its product assortment to anticipate and meet customer needs and wants to produce profitable operating margins. “We believe these challenging market conditions will continue into fiscal year 2016,” the company said in its filing.

Given the negative cash flows from operations and in order to meet expected cash needs for the next 12 months and over the longer term, the company entered into definitive agreements to provide additional near-term liquidity and serve as a first step in its efforts to affect its recapitalization. RadioShack continues to tightly manage its cash and monitor its liquidity position and have implemented a number of initiatives to conserve its liquidity position.

To view RadioShack’s Q3/14 financial results, click here.

To view RadioShack’s recent 10-K filing, click here.