Major Retailer Circuit City To Close All 567 Stores

Major electronics and video game retailer Circuit City plans to close all 567 of its store locations in the United States, having received approval in bankruptcy proceedings. Permission was granted by U.S. Bankruptcy Judge Kevin Huennekens, according to an Associated Press report. Circuit City filed for Chapter 11 bankruptcy in November. The resultant store shutdowns will result in job losses for roughly 34,000 employees starting this Saturday, with the process expected to be completed by the end of March. Despite the company seeing considerable losses last year, it had reported considerable gains in video game sales during 2008, showing the continued strength of the sector. Circuit City had hoped to reach an acquisition agreement, and was courting potential buyers, but was unable to finalize a deal before it became necessary to shut its doors. Competitors Best Buy and Wal-Mart are expected to gain market share in the wake of the 60-year-old company's closure.