Musicland Files For Chapter 11
January 13, 2006 at 6:45 AM (PT)
MUSICLAND HOLDING CORP., owner of 800 SAM GOODY, MEDIA PLAY, and SUNCOAST MEDIA retail outlets, has filed for Chapter 11 bankruptcy.
The embattled company, which listed assets of $371.5 million and debts of $485.6 million, says that its filing is aimed at ending leases for some unprofitable locations. MUSICLAND says that it will continue in operation and has asked the court to approve its honoring gift cards and merchandise returns; it previously announced the closing of all of its MEDIA PLAY stores.