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RadioShack slips to below $1 per share




NEW YORK (AP) -- RadioShack's stock is trading below $1 per share for the first time in its history - and has the investment world wondering if it will eventually be delisted.

Shares of RadioShack Corp. fell 9 cents, or 9 percent, to 94 cents in Friday afternoon trading after falling as low as 91 cents per share earlier in the day. The New York Stock Exchange could delist the stock if it closes below $1 per share for 30 consecutive trading days.

The stock is well below its all-time high of $79.50 set in December 1999. Since then, RadioShack has had trouble finding its place in the evolving retail and technology landscape.

Long known as a destination for batteries and obscure electronic parts, RadioShack has sought to remake itself as a specialist in wireless devices and accessories. But growth in the wireless business is slowing, as more people have smartphones and see fewer reasons to upgrade.

RadioShack's turnaround efforts have included cutting costs, renovating stores and shuffling management. It announced in March that it planned to close up to 1,100 of its stores in the U.S., leaving it with more than 4,000 U.S. locations. But in May, the company scaled back those plans after it failed to come to an agreement with lenders. The retailer said that it would close fewer stores and find other ways to cut costs.

Earlier this month the chain reported that its first-quarter loss widened and revenue declined in part due to softness in its mobile business and consumer electronics. The results missed Wall Street's expectations.

RadioShack is attempting to update its image and remain competitive against online and discount retailers. The Fort Worth, Texas-based company is working on building its pipeline of new products, including private brand and exclusive items such as those from new partnerships with Quirky and PCH.

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1000|Char. 1000  Char.
Mark June 20 2014 at 3:51 PM

THE REASON THEY ARE FAILING IS THAT THEY ARE WAY TO EXPENSIVE TO BUY THINGS FROM.... THEY HAVE BEEN FAILING TO FOLLOW THE PRICES OF ELECTRONIC EQUIPMENT, AND DO NOT CARRY ITEMS THAT MOST PEOPLE WANT TO PURCHASE !

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11 replies
Microdac June 20 2014 at 3:49 PM

They should have stick with what they did well: DIY Electronic projects. Why weren't they the foremost company in solar energy for homes?

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7 replies
Dick June 20 2014 at 4:00 PM

I worked in a Radio Shack store and as a previous electronic store owner I was amazed at how the management of the company was so inept....for the longest time they have thought they could make it by selling cell phones....that is stupid! The they started selling on line in competition with their own corporate and franchise stores...stupid again! The treat their franchise stores like a necessary evil and like crap!! They excluded their franchise stores from being able to sell many items they are selling on line...stupid again!! Their purchasing people don't know how to negotiate good prices on many items so their is no margin in selling them...stupid again!!! They hire and fire people like crazy thinking this will solve their problems...stupid again!!! This corporation is so mismanaged it is just unreal...I predicted a year or so ago that they would be the death of themselves with the direction they were going....so here is it....it's time to shut the doors!!!! BYE...BYE!!!

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10 replies
Nancy June 20 2014 at 3:52 PM

Their prices were higher than everyone else. Especially for batteries.

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4 replies
Doc June 20 2014 at 3:57 PM

Too bad. At one time Tandy was the biggest company on earth. I guess nothing's too big to fail.

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7 replies
drmfly June 20 2014 at 3:54 PM

As a kid...loved to go to Radio Shack when they had Realistic Speakers and Receivers on sale. They made some really great sounding stereo equipment in 70's & 80's. Hard to believe they blew it in this electronic/digital age as they were the only national game in town back then.

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5 replies
z28conv June 20 2014 at 3:50 PM

I can't imagine how they've been able to stay in business this long !

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1 reply
witteyjb z28conv June 20 2014 at 4:38 PM

Simple!

Fleecing share holders; mostly pensionists & unwary investors; mostly widows & orphans!

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4 replies
msnikki73 June 20 2014 at 3:54 PM

I can count on one hand the number of times I have been in a Radio Shack. Even those few times, I never had a knowledgeable salesperson.

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2 replies
TODD msnikki73 June 20 2014 at 4:18 PM

what happened to the fee battery club?? The only way they can save the company is to hire strippers and the nurds well follow !!

Flag Reply +6 rate up
James msnikki73 June 20 2014 at 5:23 PM

I did. He told me not to get my batteries there, which I appreciated.

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1 reply
skerpie James June 21 2014 at 9:20 AM

I remember the 'free battery' club. IT did get my teenage butt in the store. Yes, the batteries were sub-standard. And, then the catalogs. All the time, in the mail, the catalogs. I hate to say it, but Tandy seems to have hired managers as clueless as Eastman did. Woe to any corporation that hires any former Radio Shack executive! Search those annual reports and purge any dumb bell who was a former Tandy exec.

Flag +1 rate up
Jose Ahmed June 20 2014 at 3:59 PM

They got lost in time and forgot about all the great product that are coming out everyday, sorry radio shack your day has come.

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1 reply
djeranson Jose Ahmed June 20 2014 at 6:59 PM

Radioshack,you can still save your previ
ous reputation. Learn from successful operations like Wal-Mart etc. Otherwise your done.

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2 replies
John djeranson June 20 2014 at 8:33 PM

With a stock price at under a buck, and down from a 79 dollar high, it would appear that they are done. I suspect they only thing keeping them going now is that the upper management hasn't completed their own personal golden umbrella policies yet.

Flag +3 rate up
spdy65 djeranson June 21 2014 at 1:55 AM

I hope to live long enough to see a "For Sale" sign in front of every wal mart in the country. That single company is the reason other chains like Radio Shack and thousands of mom and pop stores have died.

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combatpainter June 20 2014 at 3:50 PM

I haven't made a purchase there since 2006. I think I bought two items in the last 20 years from them. The business model never made sense to me.

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1 reply
James combatpainter June 20 2014 at 5:21 PM

You shop at places because of their "business model"?

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4 replies
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