RadioShack named former U.S. Treasury Department adviser Harry Wilson as its chief revitalization officer, enlisting a turnaround expert who helped restructure General Motors and Chrysler. Wilson, founder of the advisory firm Maeva Group, will report to RadioShack's board and CEO Joe Magnacca, the Fort Worth, Texas-based company said in a statement. The struggling electronics chain, which received a rescue financing package earlier this month, cited Wilson's experience reviving U.S. automakers in the wake of the recession. He was a senior member of the Auto Task Force, which led the Treasury Department's role in revamping GM and Chrysler.
RadioShack, the struggling electronics retailer, was notified by the New York Stock Exchange that it's out of compliance with requirements because its stock has traded below $1 for 30 straight days. Under the exchange's rules, RadioShack has six months to get back into compliance by boosting its stock price to at least $1 on the last trading day of the month and having an average closing price at that level over a 30-day period, according to a statement yesterday. The risk of delisting adds to RadioShack's headaches as the retail chain attempts a turnaround.
RadioShack on Tuesday reported a wider loss and said it may have to reduce the headcount at its corporate office in Fort Worth as it tries to cut costs. Mobile phone sales continue to be weak and new products in the pipeline won't be in stores until
RadioShack has entered the smartphone and tablet repair business. The Fort Worth-based retailer thinks it can increase traffic to its stores by becoming the first national chain to provide in-store, same-day service on popular mobile devices. Some repairs will be done in an hour or even while a customer waits. "Fix It Here!" stations have been added to more than 284 company and franchise stores as part of a pilot program. Results are encouraging enough to expand it to 700 stores by year-end, said CEO Joe Magnacca.
RadioShack CEO Joe Magnacca told analysts this week that the company would enhance its focus on the Radio Shack brand, in part by streamlining its other private brands.
Everybody loves a turnaround story. RadioShack is betting that the now former president of daily living products and solutions for Walgreens, Joe Magnacca, will help author a turnaround story of its own for the small-box consumer electronics retailer. RadioShack stopped the presses late Thursday evening with news that Magnacca had agreed to join the company as CEO — less than one week removed from his promotion from a corporate senior vice president to executive vice president of Walgreens, in addition to his title as president of daily living products and solutions.