Circuit City Files for Bankruptcy (Update)

Updated from 8:09 a.m. EST

Circuit City (CC Quote) filed for bankruptcy Monday, about a week after it said it would close 20% of its stores.

The electronics retailer says it has secured a commitment for $1.1 billion in debtor-in-possession financing. This revolving credit facility replaces the company's $1.3 billion asset-based credit facility and is being provided by the same lenders. This credit will allow Circuit City to pay vendors and other business partners for goods and services received after the filing.

Last week, the Richmond, Va., company said the move to close 155 stores was partly due to its deteriorating liquidity position and continued weakness in the economy. ...