RADIOSHACK CORP

RADIOSHACK CORP

Previous company name
TANDY CORP
Name change date
7/3/1992
Company Overview
RadioShack Corporation is primarily engaged in the retailing of consumer electronics goods and services through its RadioShack store chain and non-RadioShack branded kiosk operations. The company is one of the United States’ most experienced and trusted consumer electronics specialty retailers. RadioShack has presence through more than 6,000 company-operated stores and dealer outlets in the nation, over 100 RadioShack locations in Mexico, Canada and Puerto Rico and nearly 800 wireless phone kiosks. Besides the United States, the company also runs a chain of electronics retail stores in some parts of Europe, Central America, South America and Africa.
Based in Fort Worth, Texas, the first RadioShack store opened in 1921 in Boston, Massachusetts. The company name originated from a nautical term that dates back to the invention of the radio at the turn of the 20th century. At the time, wireless radio equipment aboard ships was generally housed above the bridge in a wooden structure called the “radio shack.” The founders of RadioShack thought the name appropriate for a new retail business that supplied electronic equipment to “ham” radio operators and ships’ radio officers.
RadioShack’s product lines include wireless telephones and communication devices, such as scanners and two-way radios, flat panel televisions, residential telephones, digital versatile disc players, computers and direct-to-home satellite systems, home entertainment, wireless imaging and computer accessories, general and special purpose batteries, wire, cable and connectivity products, digital cameras, radio-controlled cars and other toys, satellite radios and memory players.
RadioShack’s proprietary brands include Presidian (audio and video equipment), Accurian (audio equipment and video equipment), Optimus (digital imaging products), Gigaware (personal computer accessories), Voicestar (Hands-free headsets), MyMusix (MP3 players) and Enercell (batteries and power accessories). Discontinued brands include Realistic (sound equipment), and Archer (wiring and antennas).
Furthermore, RadioShack is a vendor-authorized service provider for many manufacturers such as Hewlett-Packard, LG Electronics, Motorola, Nokia, RCA/Thomson and Sony.
Business Summary
RadioShack Corporation (RadioShack) is engaged in the retail sale of consumer electronics goods and services through the RadioShack store chain and non-RadioShack-branded kiosk operations. The Company’s stores are located in shopping malls and strip centers, as well as individual storefronts. At December 31, 2009, RadioShack operated 4476 United States Company-operated stores under the RadioShack brand located throughout the United States, as well as in Puerto Rico and the United States Virgin Islands. In December 2008, the Company acquired the remaining interest (slightly more than 50%) of the Mexican joint venture – RadioShack de Mexico, S.A. de C.V. – with Grupo Gigante, S.A.B. de C.V.
Description and history
RadioShack Corporation (RadioShack), incorporated in 1967, is engaged in the retail sale of consumer electronics goods and services through the RadioShack store chain and non-RadioShack-branded kiosk operations. The Company’s stores are located in shopping malls and strip centers, as well as individual storefronts. At December 31, 2009, RadioShack operated 4476 United States Company-operated stores under the RadioShack brand located throughout the United States, as well as in Puerto Rico and the United States Virgin Islands. In December 2008, the Company acquired the remaining interest (slightly more than 50%) of the Mexican joint venture – RadioShack de Mexico, S.A. de C.V. – with Grupo Gigante, S.A.B. de C.V.

The Company’s product platforms are categorized into a number of platforms. The wireless platform includes postpaid and prepaid wireless handsets and communication devices, such as scanners and global positioning system (GPS) products. The accessory platform includes home entertainment, wireless, music, computer, video game and GPS accessories; media storage; power adapters; digital imaging products and headphones. The modern home platform includes home audio and video end-products, personal computing products, residential telephones, and Voice over Internet Protocol products. The personal electronics platform includes digital cameras, digital music players, toys, satellite radios, video gaming hardware, camcorders, and general radios. The power platform includes general and special purpose batteries and battery chargers. The technical platform includes wire and cable, connectivity products, components and tools, and hobby products. RadioShack also provide consumers access to third-party services such as wireless telephone activation, prepaid wireless airtime, extended service plans, and AT&T’s ConnecTech service.

At December 31, 2009, the Company operated 562 kiosks located throughout the United States. The kiosks are primarily inside Sam’s Club and Target store locations. These locations, which are not RadioShack-branded, primarily offer wireless handsets and their associated accessories. RadioShack also provide consumers access to third-party wireless telephone services.

At December 31, 2009, the Company had a network of 1,308 RadioShack dealer outlets, including 34 located outside of North America. The North American outlets provide name brand and private brand products and services, to smaller communities. The independent dealers are often engaged in other retail operations and augment their businesses with the products and service offerings.

Products and information are available through the Company’s commercial Website www.radioshack.com. Online customers can purchase, return or exchange various products available through this Website. Additionally, certain products ordered online may be picked up, exchanged or returned at RadioShack stores.

RadioShack maintains a service and support network to service the consumer electronics and personal computer retail industry in the United States. In addition, it performs repairs for third-party extended service plan providers. At December 31, 2009, the Company had six RadioShack service centers in the United States and one in Puerto Rico. As of December 31, 2009, there were 204 Company-operated stores under the RadioShack brand, 10 dealers, and one distribution center in Mexico.

At December 31, 2009, RadioShack had four United States distribution centers shipping approximately 875,000 cartons each month, on average, to the United States retail stores and dealer outlets. One of these distribution centers also serves as a fulfillment center for the online customers. Additionally, the Company have a distribution center that ships fixtures to the United States Company-operated stores. During the year ended December 31, 2008, the Company closed the distribution center in Columbus, Ohio.

RadioShack Technology Services (RSTS), the management information system architecture is composed of a distributed, online network of computers, which links all stores, customer channels, delivery locations, service centers, credit providers, distribution facilities and the home office into a fully integrated system. The store has its own server to support the point-of-sale (POS) system. The United States Company-operated stores communicate through a broadband network, which provides efficient access to customer support data. The design also allows store management to track daily sales and inventory at the product or sales associate level.

RadioShack Global Sourcing (RSGS) serves the international import/export, sourcing, evaluation, logistics and quality control needs. RSGS’s activities support the name brand and private brand businesses.

As of December 31, 2009, the Company operated two manufacturing facilities in the United States and one facility in the People’s Republic of China. It manufactures a range of products, primarily sold through the retail outlets, including telephones, antennas, wire and cable products, and a range of hard-to-find parts and accessories for consumer electronics products.

The first RadioShack store opened in Boston, Massachusetts

Business Line
Engaged in the retailing of consumer electronics goods and services through its RadioShack store chain and non-RadioShack branded kiosk operations
Subsidiary
ATLANTIC RETAIL VENTURES INC
Advisor
PRICEWATERHOUSECOOPERS LLP
IPO date
12/1970
US SIC Code
5731
Company Address
300, RadioShack Circle

City province or state postal code
76102, FORT WORTH, TX
Phone: +1 817 415 3011
Fax: +1 817 415 2647
Country address: UNITED STATES OF AMERICA
Website url: www.radioshackcorporation.com