Report: Tweeter Sold to Liquidators
Report says Tweeter will save $12 million per year by closing distribution centers.
Tweeter was bought by a liquidator and closed all of its distribution centers Thursday night, according to a report from TWICE.
All inventory has been sent to the stores, according to the Twice report. The report, citing a source with close ties to the chain, adds that Tweeter management held a conference call Thursday night to tell top regional personnel about the decision.
Twice also cites industry speculation that Tweeter’s goal in closing the distribution centers is to save $12 million per year and have suppliers ship directly to stores.
It’s unconventional for a 104-store chain like Tweeter not to use distribution centers. It would most likely mean devoting less store space to displaying product.
CE Pro’s efforts to reach Tweeter management for confirmation have been unsuccessful. Today’s report comes on the heels of Tweeter Newco CEO George Granoff being replaced with a corporate restructuring and crisis management specialist.
At the time, Tweeter Newco chairman George Schultze wrote that the move was made “in light of the current extreme economic conditions and the company’s recent performance,” and that the move “is in the best interest of the company, as well as all other parties in interest.”
Related: Is This the End of Tweeter?
Tom has been covering consumer electronics for six years. Before that, he wrote for the sports department of the Boston Herald. Migrating to magazines, he was a staff editor for a golf publication and an outdoor sports publication. Now, as senior writer/technology editor of CE Pro magazine since 2003, he dabbles in all departments and offers expertise in marketing. Have a suggestion or a topic you want read more about? Email Tom at [email protected]
Follow Tom on social media:
News5 Things I’m Looking Forward to at ISE 2016
URC Direct Dealers to Sell Luxul Networks
Hot New 4K Video Distribution Products at ISE 2016; Zigen, Wyrestorm, Metra, More
Crestron Shows Latest in DigitalMedia and Home Elements Toolkit at ISE 2016
SEC Charges Harman Executive with Insider Trading
View more News