Their ex-head of purchasing embezzled tens of millions if not a hundred million plus dollars by causing them to substantially overpay for goods from various vendors, who would then give the employee kickbacks. IIRC, he also set up dummy corporations to act as middle men more or less doing the same. Literally ever since that time, their once amazing deals were reigned in, undoubtedly to make up the enormous losses.
Here's a good summary:
Good read for sure but a company generating 2+ billion in revenue would rebound from a 40-60 million dollar write off like that by now. They prob had to raise capital or borrow and needed larger profit margins to grow or stay in business. Places like frys and Best Buy are slowly going extinct. I still notice good savings on big ticket items, but not so much on things that get you in the door like video games, movies, and cheap gadgets.
- karkyco likes this