Couldn't Happen to a Nicer Company

Circuit City:

Dec. 21 (Bloomberg) -- Circuit City Stores Inc., the second-largest U.S. consumer-electronics retailer, reported a fifth straight loss and said it won't make money this quarter, when it typically generates most of its annual profit.

The chain dropped 32 percent in early New York trading.

The loss widened to $207.3 million, or $1.26 a share, from a loss of $20.4 million, or 12 cents, a year earlier. Sales dropped 3.1 percent to $2.94 billion, the Richmond, Virginia- based company said today in a statement. It was the third consecutive quarterly revenue decline.

Circuit City, which cut 10 percent of its U.S. workforce this year and hired people willing to work for less, is losing market share to larger rival Best Buy Co. Sales in stores open at least 12 months fell 5.6 percent in the third quarter.