Nov
03
Why is circuit city advertising non stop while filing chapter 11?
Filed Under (Shopping) by admin
circuit city
Matt asked:


So tell me, why is circuit city who has filed for bankruptcy sponsoring NFL games, and has non stop commercials on, yet is closing stores and has filed for bankruptcy? How the heck does that work? If they have no money, how are they paying for advertising?

Jessica
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    • Comments

    Munkstump on 5 November, 2009 at 8:29 pm #

    Those ads were probably already paid for a month ago, so they might as well run them.


    recycle b on 7 November, 2009 at 8:58 am #

    CC in their minds still wants to survive. They have closed or are closing about 155 stores ( 1/4 of stores) that had the largest losses. The filed Chapter 11 just to hold off their vendors until January. They want to reorganize with this stores. Advertising is still necessary for their business. Sometimes advertising is paid on a bartering basis rather than cash.


    Kaitlyn M on 9 November, 2009 at 12:20 am #

    I actually got laid off a few days before they announced my store closing and so did a few people, but they have been planning this campaign for a few months or more, we had a meeting about it like 1 1/2 months before