Circuit City still in talks over potential sale
ATLANTA (Reuters) - Circuit City Stores CCTYQ.PK concluded the first day of an auction and said it was still in talks with bidders regarding a potential sale of the company or certain assets.
Lawyer Ian Fredericks of Skadden Arps Slate Meagher & Flom LLP. which represents Circuit City, made the announcement on a conference call to discuss the proceedings.
Circuit City filed for Chapter 11 protection in November, citing a deteriorating cash position and tighter terms from vendors. It has liquidated and closed 155 stores, about one-fifth of its U.S. store base.
Last week, the retailer received bankruptcy court approval to proceed with an auction, with liquidation possible if no sales occurs. Also then, Circuit City said it was in talks with two undisclosed parties that could either buy the company or provide additional financing.
- U.S. small businesses borrowed more money in January than they did a year earlier, signaling continued growth in the economy despite a spate of cold weather that has been blamed for weakness in many other indicators of activity.
BEIJING/HONG KONG - China reiterated its opposition on Thursday to a European Union plan to limit airline carbon dioxide emissions and called for talks to resolve the issue a day after its major airlines refused to pay any carbon costs under the new law.