FREE shipping on orders $25 or more. Returns are always free

Bankruptcy Employee FAQ

 
  1. What was announced?

General Wireless Operations Inc. and several affiliated companies have filed voluntary petitions under Chapter 11 of the U.S. Bankruptcy Code. Certain RadioShack stores and the website remain open for business to serve our customers. We are exploring all available options for the Company, including  alternative business models that will enable us to keep some stores open on an ongoing basis. Additionally, upon emergence, we expect to continue serving the 425 stores operated by independent dealers. In connection with the Chapter 11 filing, we have entered into a transition agreement with Sprint that will convert hundreds of RadioShack locations into standalone Sprint corporate stores.

 

  1. Why is RadioShack doing this? Who made this decision?

This was a difficult decision and it came only after our Board of Directors and management team explored and exhausted a range of options. Since emerging from bankruptcy two years ago, everyone at RadioShack has worked relentlessly to revitalize the Company and our brand. We cannot emphasize enough how important your efforts have been. Although this is a difficult time, we were able to stabilize operations and achieve profitability in the retail business. However, for a number of reasons, including liquidity constraints driven by the poor performance of the mobility business, we have concluded that the Chapter 11 process represents the best path forward for the Company.

 

  1. Will RadioShack go out of business after filing for Chapter 11?

Some RadioShack stores and the website remain open for business to serve our customers. We are continuing to explore options for the company, including evaluating ways to keep some stores open on an ongoing basis under alternative business models. Additionally, we expect the 425 independent dealers stores to continue to serve communities nationwide.

 

  1. Will employees continue to be paid in the interim period?

As we move forward with this process, we fully expect that our employees will continue to receive their usual pay during their active employment with RadioShack.

 

  1. What information should I expect to receive directly from the Bankruptcy Court of Delaware?

All current and former employees will be receiving notices in the mail from RadioShack’s claims agent, Prime Clerk. You should expect to receive a Notice of Bankruptcy and Bar Date Notice in the mail. Please note that the Bar Date Notice is sent to all current and former employees and it identifies the deadline to submit a claim with the bankruptcy court. If you do not believe that you have a claim, there is no action required on your part.

 

  1. Will there be store closures? When?

Some RadioShack stores and the website remain open for business to serve our customers. We are continuing to explore options for the company, including evaluating ways to keep some stores open on an ongoing basis under alternative business models. Additionally, upon emergence, we expect to continue serving the 425 stores operated by independent dealers. Please understand that there are many things we simply don’t know yet, such as the timing of store closings and other operational developments.

 

  1. What should I tell customers?

Please thank our customers and let them know that you appreciate their business. Certain  RadioShack stores and the website are currently open for business to serve customers.

If they have additional questions, please refer them to our website at www.radioshack.com/bankruptcyinfo

 

  1. What should I tell suppliers, vendors or others?

Please refer them to our website at www.radioshack.com/bankruptcyinfo

 

  1. What if I am contacted by the media?

Consistent with company policy, if you receive inquiries from the media, you should direct them to send their inquiry to marketing@radioshack.com.

 

  1. When do you expect to complete the Chapter 11 process?

We intend to move through the process as quickly as possible. Please be assured that we are committed to providing you with timely updates as new information becomes available.

 

  1. How can I get updates and additional information?

We have posted a set of general FAQs on www.radioshack.com/bankruptcyinfo. There are many things we simply don’t know yet. However, be assured that we are committed to providing you with timely updates as new information becomes available.

For more information email benefits@radioshack.com.