Circuit City Testing New 'The City' Concept Stores

RICHMOND, Va. - Electronics retailer Circuit City Stores Inc. said Tuesday it is testing new concept stores dubbed "The City," with a new look and interactive layout in an attempt to give customers a new shopping experience.

The stores include different fixtures and lighting, a refined product selection and a more interactive experience, said Jackie Foreman, a spokeswoman for the No. 2 North American consumer electronics retailer behind Best Buy Co. Inc.

"We're excited about the remodelling and think consumers will enjoy shopping at the new store," Foreman said.

In June, Circuit City opened a relocated store in Norfolk, which bears the new name on the company's signature red and silver circular logo. The remodel of a store in the company's headquarters of Richmond will open in time for the holidays.

The new stores are part of the 60 to 65 domestic stores the company plans to open during the fiscal year, Foreman said, with a mixture of both traditional-size and smaller-scale stores. The company has said half of the additions will replace current stores. It also plans to open 75 to 100 new stores in fiscal 2009.

It is unclear whether the name change and store layout will take place throughout the company's 658 stores and planned additions and relocations, Foreman said.

Circuit City also operates 510 retail stores and 296 dealer outlets in Canada through its InterTAN subsidiary, The Source by Circuit City. The company also sells its products and services online.

In September, Circuit City said it lost $62.8 million in its second fiscal quarter, on lower overall sales and continued restructuring activity, compared with a $10 million profit a year earlier. Sales slipped during the period, weighed down by softer sales of videos, camcorders and DVD hardware, among other items.