Circuit City announce it will shut down its remaining 567 U.S. stores at the cost of 34,000 more jobs after failing to sell the business.

The closure of the nation's second-biggest consumer electronics retailer spells more trouble for the nations malls, and is the latest casualty of an unprecedented pullback in consumer spending that has claimed KB Toys, Mervyns LLC and Linens 'N Things.

U.S. Bankruptcy Judge Kevin Huennekens gave final approval to the liquidation plan Friday afternoon. Some employees were notified that they would lose their jobs and certain stores would begin close-out sales as early as Saturday.

Circuit City said liquidating the stores should last through March, after which they will be closed. A small staff will keep working at the corporate office through that process.

It was unclear what would happen to the company's 765 retail stores and dealer outlets in Canada. Galardi told a judge there are still bids for the Canadian business.

Circuit City's brand value was diminished in the 1990s as it faced tougher competition from Best Buy Co., which built bigger stores in better locations.

By: DocMemory
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