As if putting a "restructuring" specialist as CFO wasn't bad enough, RadioShack's (NYSE:RSH) Chief Marketing Officer as first reported by The Dallas News. According to the article, she is leaving for another job and was originally a key person in the turnaround attempt. According to The Wall Street Journal, "Ms. Warren was responsible for managing the Fort Worth, Texas, chain's brand image and advertising, including a lengthy television spot during this year's Super Bowl." Apparently her efforts didn't work out or just weren't enough to overcome the company's troubles.
As I mentioned in this RSH article, there wasn't a lot of talk about RSH actually being successful at expanding sales other than comparing a three-day holiday period when the stores were open compared to a three-day holiday period last year when the stores were closed for Thanksgiving and trying to spin the 1% decline as a success. RSH had little else to say outside that three-day period. What more can I say? It's hard to imagine any salvation whatsoever in an investment with RSH unless it's for some technical quick trade. I'm not that talented or courageous.
RSH continues to make a mockery out of my Oct. 5 article entitled 4 Reasons RadioShack Shorts Are Gluttons For Punishment. In it I talked about the easy comps may create positive headlines. Well, the problem with the easy-comp theory is it only works for companies that had a bad temporary period along with evidence that things have turned robust since. I had forgotten that rule. For RSH, the comp was anything but easy as the business kept deteriorating since that comp. To me, the only question left is how much time RSH has left before they give up or are forced to give up and pack it in.
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