NEW YORK Feb 27 CompUSA, the computer and
gadget retailer owned by Mexican billionaire Carlos Slim, said
on Tuesday it would close more than half of its U.S. retail
locations over the next two to three months to focus on top
CompUSA said in a statement it would close 126 of its
stores and would receive a $440 million cash capital infusion,
but it was not specific as to the source of the cash. The
company also said it would cut costs and restructure.
The company operates 225 stores, which its Web site says
are located in the United States and Puerto Rico.
"Based on changing conditions in the consumer retail
electronics markets, the company identified the need to close
and sell stores with low performance or nonstrategic, old store
layouts and locations faced with market saturation," Roman
Ross, chief executive officer of CompUSA, said in the
"The process began last week with the closing of four
CompUSA stores and over the next 60-90 days, the company will
close a total of 126 stores in the United States to focus on
initiative that enhance its top performing locations
On Monday, CompUSA said it would close two stores in
California, one in Texas and one in Illinois. CompUSA said it
was trying to streamline operations and bolster margins at
Last September, an official from Slim's conglomerate Grupo
Carso (GCARSOA1.MX) told Reuters that Slim, the third-richest
man in the world, was considering selling the loss-making
Intense gross margin pressure, especially in the flat panel
television category, has plagued others in this sector,
contributing to Circuit City Stores Inc.'s (CC.N) announcement
earlier this month that it was closing 70 stores.
CompUSA competes with Best Buy (BBY.N) and Circuit City.