Circuit City Answers Customer's Questions - Bankruptcy/Liquidation FAQs

[K Gardner]

Articles I've read emphasize that the closing of the nearly 600 CC stores will be devastating to malls and commercial real estate. "It will bring to market a glut of big box spaces across the country," said John Bemis, head of Jones Lang LaSalle Inc.'s retail leasing team. "It will have one of the largest impacts on big box real estate across the country."

CC already has Liquidation FAQs up on its website, and sales (with prices negotiable) on all merchandise will begin tomorrow. Employees have already been sent home and are being told to "return Monday for their belongings." Website has already been taken offline, except for the Closed Message.

www.circuitcity.com



Are you also shutting down your operations in Canada?

No, our Canadian operations will continue. They are not affected by the liquidation of Circuit City's U.S. operations. The Canadian operations employ approximately 3,000 associates.

How many people are losing their jobs as a result of this action?

Circuit City employs approximately 34,000 associates in the U.S.

Will Circuit City stores continue to accept Circuit City gift cards?

Yes, customers holding Circuit City gift cards may redeem them at full value at our stores during the liquidation sales. Once the stores are closed and the company is out of business, the gift cards will have no value.

Are Circuit City's extended warranties affected by the liquidation?

No. Circuit City Advantage Protection Plans® (extended warranties) have been backed by third-party independent companies for more than 15 years and as a result, are not impacted by Circuit City's closing. Currently, all Circuit City Advantage Protection Plans are fully backed by the Assurant Solutions companies. Assurant Solutions operates as Federal Warranty Service Corporation, Sureway, Inc., and United Service Protection, Inc. Assurant Solutions is part of Assurant, Inc. (NYSE: AIZ), and its extended service contacts are backed by an Assurant insurance subsidiary rated A "Excellent" by A.M. Best Co.

When will the liquidation sales begin?

Liquidation sales begin as early as Saturday, January 17, 2009, and will last as long as it takes to sell through the merchandise at each of the stores. We expect the sales to wrap up by the end of March 2009.

How much will merchandise be marked down, and can customers negotiate prices for the merchandise?

There will be clearance pricing, but specific discounts are not being announced. All sale prices are at the discretion of the liquidator. Prices are non-negotiable and all adjustments must be approved by the liquidator's on-site managers.

What payment types will be accepted at the liquidation stores?

Stores in liquidation will accept cash, Circuit City gift cards and most credit cards. Personal checks will not be accepted. All sales are final.

What about returns and refunds?

Customers can return products they purchased prior to January 16 for a 14-day period for exchange or refunds. All other terms of return policy are in force.

Will Circuit City offer home theater installations during the closing sale?
Yes, we will continue to offer home theater installations during our closing sales.

Will Circuit City offer PC services and repairs at liquidation stores during the closing sale?
Services already underway at the liquidation stores will be completed promptly, but no additional jobs will be accepted at these stores.

Will Circuit City's extended warranties still be available on products purchased from liquidation stores? Yes, we're making no changes to our Circuit City Advantage Protection Plans®. Coverage is national and purchases will still be protected just as they always were. Circuit City Advantage Protection Plans® have been backed by third-party independent companies for more than 15 years and as a result, are not impacted by Circuit City's bankruptcy or liquidation. Currently, all Circuit City Advantage Protection Plans are fully backed by the Assurant Solutions companies. Assurant Solutions operates as Federal Warranty Service Corporation, Sureway, Inc., and United Service Protection, Inc. Assurant Solutions is part of Assurant, Inc. (NYSE: AIZ), and its extended service contacts are backed by an Assurant insurance subsidiary rated A "Excellent" by A.M. Best Co.

What if a customer purchased products at one of the closing stores and the product needs service?
For products covered under the manufacturer's warranty, customers should call the manufacturer.
For products covered under Circuit City Advantage®, guests can call the toll-free number that is printed on the bottom of the product receipt.

[Ichingcarpenter]

1. The liquidators are the same ones that did CompUSA's

They were awful, they marked things up big time then discounted them
above retail.

Thanks for the FAQ

[K Gardner]

2. Thanks for THAT information ! It would behoove anyone thinking they were getting

a "good deal" to check prices elsewhere prior to going !

[Ichingcarpenter]

6. The Liquidators have a nasty rep

The Consumerist have been following them for years
you won't bee dealing with CS salesmen but with the liquidators.

[lpbk2713]

5. Thanks for the info.

I've only been to my local C/C a handful of times in the twenty or more years it has been here.

I see no reason to change now. I won't miss them.

[NOW tense]

3. Was it bad of my consumer mind

to hope for a $125 30" flat panel HDTV?

[paparush]

4. Great minds....