On January 16th 2009, electronics superstore Circuit City issued a press release gavelling another nail in the coffin of the current economy. Beginning Saturday January 17th, the company will begin liquidating its assets in order to pay its creditors and pass quietly into the footnotes of business history. The announcement does not come as any great suprise, However, it potentially signifies what may be the official beginning (and the first overt casualty) of the U.S. recession on a blue-collar level, a downturn that has been flagging the economy since early 2008.
Circuit City had hoped to use the Christmas Season, and Chapter 11 bankruptcy protection, to reorganize itself sufficiently to stay in business, a feat that pudits hoped would buoy concerns about a consumer level recession. While Circuit City will not have been the first company affected, or even bankrupted, by the recession, its closing foreshadows the future of Economics and expectancy for 2009 and perhaps the next 3-7 years.
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