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Thursday, October 30, 2014

RadioShack lender Salus seekS to add debt holdings -Bloomberg, (NYSE: RSH)

A major RadioShack Corp lender is attempting to purchase a bigger part of the electronic retailer's debt in exchange for backing the company's store-closing plan, Bloomberg reported, citing people familiar with the matter. Salus Capital Partners LLC is seeking to buy as much as $465 million of the $585 million of loans arranged for affiliates of RadioShack's largest shareholder, Standard General LP, according to the report.The company's efforts to cut costs have been hampered by creditors and vendors disagreeing to its restructuring plans.As a result, RadioShack was forced to scale back its plans to close 1,100 underperforming stores this year to just 200.To convince RadioShack and Standard General to sign off on its purchase of the new debt, Salus would need to agree to store closings, Bloomberg reported.

RadioShack Corporation (RadioShack) is engaged in the retail sale of consumer electronics goods and services through its RadioShack store chain. Shares of RSH traded higher by 4.17% or $0.04/share to $1.00. In the past year, the shares have traded as low as $0.55 and as high as $3.09. On average, 6460070 shares of RSH exchange hands on a given day and today's volume is recorded at 2547038.