Thornton, Colo. - Ultimate
Electronics has asked a U.S. Bankruptcy Court for permission to begin
going-out-of-business sales this month and to close all stores by April.
According to court
documents cited by the Denver Post and Syracuse Post-Standard, owner Ultimate
Acquisition Partners said it has been unable to secure any financing to keep
its operations going, and its lender and largest debtor GE Capital has blocked the
A/V chain's request to use its cash collateral to buy new inventory for the
Ultimate, chiefly held by
investor Mark Wattles, said an immediate "going out of business" sale is the
best way to settle its debts because the products sitting on store shelves will
lose value over time.
The company plans to hire
Gordon Brothers Retail Partners and Hilco Merchant Resources as consultants to
sell off merchandise and close the stores.