phil'spal

Circuit City Still for Sale - Who'll Buy It?

Sullivan is right. Too much hassle involved with making an offer. Further, there is even more hassle in trying to make something of it once you have it. That leads to the obvious question: "What's left of any value in this company?" Bill is right. Fundamentals stink. Land and lease costs are crushing them, yet they're still talking about opening new stores. Not a logical strategy when the only bright spot in the story seems to be that their website is getting more hits lately. Trying to build market share by spreading yourself thinner is an interesting strategy. Given the pathetic performance over the last several quarters, does anybody know how they're planning to pay their suppliers? More debt? So much for cutting costs, unless interest expense somehow doesnt count. Or is the escape plan already in place where the creditors take the thrashing? It's the worst company in a tough, highly competitive market in a scary economy. With regrets to the few dozen or so remaining loyal customers and irrepresibly optimistic CC investors, there is no redeeming aspect that makes this company appear to be worth salvaging. If Mr. Marcum can turn this one around, he should be knighted, sainted, worshipped and adored for time eternal. But I kinda think that he'll settle for the few million bucks he gets for trying.