Daily News: May 9, 2014

RadioShack Withdraws Plan to Close 1,100 Stores

RadioShack has backed away from plans, announced in March, to close 1,100 stores that were selected based on location, area demographics, lease life and financial performance. According to an 8-K filing, the company said the terms on which the lenders are currently willing to provide consent are not acceptable to the company. The company went on to say it is continuing with a plan to close fewer stores and pursuing other cost reduction measures permitted under the existing terms of its 2018 credit agreement and 2018 term loan.

In December, RadioShack completed a new financing totaling $835 million including a $585 million asset-based credit agreement led by GE Capital, Corporate Retail Finance and a $250 million secured term loan led by Salus Capital Partners.

Previously on abfjournal: WSJ: RadioShack Mired in Lender Talks Over Closings, April 17, 2014