Earlier today, Bloomberg News cited two unnamed sources who said that doomed electronics retailer RadioShack was in talks with Sprint to sell about half of its 4,300 retail locations to the mobile phone company and close the rest. After sending the company a letter warning that it could be delisted, the New York Stock Exchange has now started the process to kick the company off the exchange.
The company’s stock reached its all-time high of $34.14 per share in 2007, and at the end of today was trading at 24 cents per share. Have pity on the Radio Shack employees who were encouraged to invest their retirement accounts in company stock, some of whom have filed lawsuits against the company for even allowing employees to invest their savings in Radio Shack stock.
The earlier letter required RadioShack to submit a business plan to the exchange explaining how it planned to turn things around and bring the total value of the company back above $50 million. Today’s news made it clear that the company has no plans to submit a business plan to the exchange, so trading of RadioShack shares has been suspended and the stock will no longer be listed.
by Laura Northrup via Consumerist