Troubled electronics retailer Circuit City filed for Chapter 11 bankruptcy protection today, as the company attempts to restructure and fend off creditors.
The company has listed $3.4 billion in assets and $2.32 billion in liabilities and says it owes Hewlett-Packard $119 million and Samsung $116 million, as well as $650 million to the likes of Sony, Toshiba and others.
Circuit City has already taken a number of steps aimed at stemming the financial bleeding. Earlier this month it shuttered a fifth of its stores, leaving it with 566 U.S. locations, and laid off roughly 20 percent of its 43,000 employees. As part of today’s news, the company said it will eliminate another 700 jobs.
Circuit City will receive $1.1 billion from lenders in order to stay open through the holiday season.
The company blames its dire situation on increased competition from the likes of Best Buy, Wal-Mart and web retailers like Amazon.