The retailer has hired Goldman Sachs as an advisor is a possiblesale. Circuit City has already closed 55 stores in Canada thisyear, and executives plan to close 10 more in the first half of thecurrent fiscal year. The company acquired InterTan in 2004.
Circuit City is also slashing the positions of 3,400 employeesthat are "paid well above the market-based salary range for theirrole," according to a company statement. The retailer will hire newworkers to fill those spots at lower wages.
Management expects these changes will save the company about$110 million during the current fiscal year and at least $140million annually thereafter. In the short term, they areforecasting $92 million in pre-tax expenses for the fourth quarter,the results of which will be reported on April 4.
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