Djangos.com Seeks Bankruptcy Protection15 Mar, 2002 By: Holly J. Wagner
The Portland, Ore.-based Djangos music and movie chain has filed for Chapter 11 bankruptcy protection following an unsuccessful bid to take over CDWherehouse.
Ironically, the company's filing earlier this month seeking Chapter 11 bankruptcy protections may be the step it needs to restructure its debt and push forward with the acquisition, which would bring Oklahoma City, Ok.-based CDWherehouse's stores into its fold.
Papers filed in the case reveal $5.9 million in unsecured debt. Djangos president Steve Furst did not immediately return phone calls to discuss plans for the chain's future.
Djangos has 19 stores in the San Diego, Los Angeles, Portland, Seattle and Chicago markets under the Djangos, Cellophane Square, Moby Disc and Djangos' Second Hand Tunes shingles, plus an online business, all of which deal in new and used CDs and video.
CD Wherehouse owns 64 corporate stores and franchises 231 more. They are spread across 35 states, the District of Columbia, England, Guatemala, Thailand, Canada and Venezuela and operate under the names CD Warehouse, Disc Go Round, CD Exchange and Music Trader. CD Warehouse's store trade in used CDs and DVDs as well as new, chart-topping CDs.