Radio Shack is planning to shutter more than 1,000 of its U.S. stores that aren’t meeting expectations, a move that might include outlets in New York City.
The Texas-based electronics retailer, which suffered a loss in sales in the fourth quarter of $63.3 million, did not disclose which stores would close. The company said the decision — which will see the closing of around 25% of the store’s outlets — will be based on location, demographics, lease duration and financial performance.
Sales at stores that have been open at least a year dropped 19 percent last year, which the company attributed to weaker traffic and “very soft” performance of its mobile phone business, according to Crain’s.
The company has at least 250 locations in he five boroughs, including almost a hundred each in Brooklyn and the Bronx. A 5,159-square-foot location recently opened in a Times Square building where asking rents were more than $2,500 per square foot, as The Real Deal previously reported. [Crain’s] — Angela Hunt