Thu, Feb. 12, 10:58 AM
- Sprint's (NYSE:S) 2.6% gain today adds to a three-day rise of 6.5% -- and +20% over a newsy past week that started with fiscal Q3 earnings showing the return of customer growth.
- The company is going against the industry grain by showing support for Title II reclassification by the FCC -- new regulations that are opposed by AT&T, Verizon and T-Mobile.
- "Our competitors are going to continue to invest [in networks] so they are representing a situation that won't play out," says Sprint CTO Stephen Bye.
- Network investment is a key issue for Sprint -- it has a lot of work ahead to unify its LTE bands, and it still lags AT&T/Verizon in network quality (though it's moving up).
- Meanwhile, dealing with RadioShack (NYSE:RSH) on some 1,750 co-branded stores gives a shot in the arm to Sprint distribution, which was strained by long lines during their recent "Cut Your Bill In Half" and "IPhone For Life" promotions.
- Shares are now up 36% off their 52-week low from mid-December.
Mon, Feb. 2, 5:39 PM
- RadioShack (NYSE:RSH) discloses it has received a notice of default regarding its debt obligations. The NYSE is suspending trading in RadioShack's shares, effective immediately, and commencing a delisting process.
- Earlier: RadioShack reportedly in store liquidation talks with Sprint
- Earlier: Standard General likely to be lead bidder in RadioShack bankruptcy auction
Wed, Jan. 14, 7:06 PM
- RadioShack (NYSE:RSH) is "preparing to file for bankruptcy protection as soon as next month," the WSJ reports.
- The struggling electronics retailer is said to be talking with a P-E firm that "could buy its assets out of bankruptcy." Sources caution a deal might not happen, and that "the company may opt to pursue other debt-restructuring options that don’t include a sale."
- RadioShack is also said to have "reached out to potential lenders that could provide a loan to fund the company’s operations during the bankruptcy case."
- RSH -9.5% AH to $0.37. Shares fell 12.6% in regular trading, after jumping yesterday in response to Salus Capital's financing offer.
Tue, Jan. 13, 9:12 AM
- Shares of RadioShack (NYSE:RSH) move up 10.3% in premarket trading after the company receives a financing offer from Salus Capital.
- Retail analysts note the presence of Salus has made it more difficult for RadioShack to slash its store count in the past.
- RadioShack hasn't posted an update on holiday sales yet, although channel checks have indicated electronic stores has been one of the pockets of weakness in retail.
- Previously: Holiday retail sales something of a revelation (Jan. 08 2015)
Tue, Jan. 6, 10:11 AM
Dec. 16, 2014, 8:38 AM
Dec. 11, 2014, 3:22 PM| 5 Comments
Dec. 2, 2014, 3:46 PM
- Shares of RadioShack (NYSE:RSH) come off their trading halt to peel off 10.6%.
- The company is laying blame at the feet of Salus Capital for "manufacturing" a problem with a breach of a refinancing covenant.
- Previously: RadioShack halted amid controversy over covenant breach
Dec. 2, 2014, 10:13 AM
- Trading in shares of RadioShack (NYSE:RSH) has been halted after Salus Capital issues the company a notice of a covenant breach under the terms of a $250M term loan facility.
- A statement from Radio Shack says the claims by Salus are incorrect.
- Shares of RSH were down 1.3% before the NYSE pulled the plug on trading.
Oct. 6, 2014, 12:46 PM
Oct. 6, 2014, 9:16 AM| Comment!
Oct. 3, 2014, 5:45 PM
- RadioShack (NYSE:RSH) has "entered into definitive agreements to restructure a portion of its existing debt," and struck a deal for a $120M investment expected to converted into a 50%+ equity stake.
- Shareholder Standard General and other investors have "replaced GE Capital as lead lender under RadioShack's senior secured asset based credit facility," a move that will allow "immediate access to additional liquidity," thereby allowing RadioShack to fund its holiday season inventory build.
- However, borrowing availability under the facility changes in March 2015. RadioShack expects to refinance at that time.
- Standard General, Litespeed Management, and other investors are "providing $120 million to be used to cash collateralize letters of credit for the Company." The investment is expected to be converted into equity provided certian conditions are met. Among them: A rights offering to RadioShack shareholders to buy shares at $0.40 apiece.
- If no shares were purchased through the rights offering, existing shareholders would be left with only a 20% stake. The offering is set to launch late this year or early next.
- If the $120M investment converts into equity, RadioShack's board "will be reconstituted to consist of the Company's CEO, two independent directors selected by RadioShack and four individuals nominated by Standard General."
- RSH is still halted. Shares soared in premarket trading after Bloomberg reported of a $590M refinancing deal.
Sep. 26, 2014, 12:00 PM
- Shares of RadioShack (RSH +24.5%) pop after Standard General said it would go back to the table with the retailer to discuss financing options.
- In a SEC filing, Standard General noted it's working to help RadioShack manage the holiday season given its dire cash position.
- Shares of RSH cleared the buck-a-share level before settling back a bit.
- SEC Form 13D
Sep. 16, 2014, 9:20 AM
Sep. 15, 2014, 7:33 AM
Sep. 12, 2014, 12:45 PM
RSH vs. ETF Alternatives
RadioShack Corp, together with its subsidiaries, is engaged in the retail sale of consumer electronics goods and services through its RadioShack store chain. Its product lines are categorized into two platforms: mobility and retail.
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