In a bankruptcy court filing, Samsung said it believes "that Circuit City Stores was insolvent at the time it received the goods," and has requested twice that it return $US74 million worth of merch shipped between Sept. 21 and Nov. 4. Even if Circuit does pay up or return this set of goods, if it were dealing with mob bosses instead of corporations, it'd still probably get its legs broken—Bloomberg reported it actually owed Sammy over $US116 million all told, plus $US119 million to HP. So that $US1.1 billion loan it just got probably won't go very far after tiding over operating expenses.
Sony Electronics prez Stan Glasgow's gloomy observation that no one in the industry has come out of a Chapter 11 alive is looking more and more true everyday. [Home Media Magazine]